Salesforce has announced that its use of AI tools internally has allowed the company to hire fewer workers in customer service and software engineering, once key areas of employee growth for the software giant.
Bloomberg reports that Salesforce, the San Francisco-based cloud software giant, has revealed that the implementation of AI tools within the company has led to a reduction in hiring needs for specific positions. This announcement serves as another example of how companies are adjusting their hiring strategies in response to the rapid advancements in AI technology.
Salesforce CEO Marc Benioff is a notorious leftist who previously threatened to pull his business from states that adopt pro-life policies. Despite his hyper-left views, he is one of many tech titans to extend an olive branch to President Donald Trump.
During a call with analysts on Wednesday, Chief Financial and Operations Officer Robin Washington cited the deployment of AI tools as a key factor in the company’s decision to hire fewer employees. She specifically mentioned that 500 customer service workers would be redeployed to different roles within Salesforce this year, resulting in a $50 million cost savings for the company. Software engineering is a second area that the company believes AI will replace humans in.
The impact of AI on hiring practices is not limited to Salesforce. Several tech companies are increasingly relying on AI to assist with various tasks, ranging from customer service to software engineering. Recent job cuts at Microsoft have disproportionately affected software engineers, with leaders from both Microsoft and Google reporting that AI is responsible for generating about 30 percent of new code in some projects.
In an interview, Washington elaborated on how AI is influencing Salesforce’s hiring decisions, particularly in the engineering department. “We view these as assistants, but they are going to allow us to have to hire less and hopefully make our existing folks more productive,” she explained. As of January 31, Salesforce reported a workforce of approximately 76,500 employees.
While Salesforce is reducing hiring in certain roles due to AI-driven productivity gains, the company is simultaneously expanding its sales workforce. Chief Revenue Officer Miguel Milano announced during the call that Salesforce currently employs 13,000 salespeople, a figure that is expected to grow by 22 percent this year compared to the previous year. Earlier in 2023, Salesforce had plans to cut over 1,000 employees while simultaneously hiring for AI-focused roles, especially in sales.
Read more at Bloomberg here.
Lucas Nolan is a reporter for Breitbart News covering issues of free speech and online censorship.
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