Curated and analyzed by the JobGoneToAI team. Original reporting by egyptindependent.com.
Block's Layoffs Linked to AI Adoption Amidst Broader Job Market Concerns
— egyptindependent.com
Key Takeaway
The article discusses the impact of AI on job displacement, particularly highlighting Block's decision to lay off nearly half its staff due to AI tools. While it acknowledges the potential for job loss, it also argues that technology historically increases productivity and can lead to job creation in the long run.
From the Original Report
Jack Dorsey, co-founder & CEO of Block, speaks on stage at the Bitcoin 2021 Convention in Miami. Joe Raedle/Getty Images Facebook Twitter LinkedIn New York — As if on cue, days after a viral essay warned of an artificial intelligence-fueled economic catastrophe, payments company Block said it was laying off nearly half its staff.
The company, which owns Square and Cash App, explicitly linked the cuts to AI tools that have “changed what it means to build and run a company.” googletag.cmd.push(function() { googletag.display('div-gpt-ad-1652956513490-0'); }); That is a deep cut, even for the tech industry, which bulked up during the pandemic and has been shedding thousands of
jobs in recent months. And unlike most of other industry cuts, executives at Block weren’t “right-sizing” or “reducing headcount in anticipation of future AI efficience” — the company adopted AI tools, and as a direct result, it says it no longer needs as many workers. Block’s shares surged more than 15 percent Friday.
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Original Source
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