-source: Fortune.com
Summary
Klarna CEO Sebastian Siemiatkowski expects the company’s workforce to decrease from 3,000 to fewer than 2,000 by 2030 due to AI automation. He doesn’t foresee layoffs, instead relying on “natural attrition” of about 20% each year. Siemiatkowski believes AI is capable of doing all jobs, including his own. He has called out other tech CEOs for not being honest about AI disruption. The company has already more than halved its workforce since 2022 and has increased employee compensation by nearly 50% due to higher profits.
Our Reading
The numbers tell one story.
Klarna’s workforce is expected to shrink by about 33% by 2030. The company has already reduced its workforce from 7,000 to 3,000 since 2022. Siemiatkowski is preparing for a “very big shift” in the workforce due to AI. He believes AI could never replace employees who work directly with retailers, where business depends on relationships. Klarna has increased employee compensation by nearly 50% due to higher profits.
The announcement sounds like a gentle warning to employees, as the company relies on “natural attrition” to reduce its workforce.
Author: Evan Null
