YouBet said:
Another scary article on the job market and how AI, whether you agree with it or not, is massively impacting the job market. It's not just H1Bs.
AI is a real disruptor.
https://www.wsj.com/economy/jobs/white-collar-jobs-ai-324b749c?st=FBUK68&reflink=article_copyURL_share
Quote:
Mike Hoffman, chief executive of the growth advisory consulting firm SBI, said in the past six months he has cut his software-development team by 80% while productivity has surged. "We have someone managing clusters of agents that are doing coding," he said. "Our AI writes its own Python."
Investors are pressuring companies to streamline operations, Hoffman said, seeking head-count reductions as steep as 30%. Executives should ask themselves whether they can do so and whether it is the right thing to do, he said.
On Monday, the online-learning company Chegg said it would cut 388 jobs globally, about 45% of the workforce, as it pivots to an AI model that automatically answers students' questions.
AI being a disrupter, yes, I agree. But it will not be in a way how people think it is.
Don't go by what these CEOs put out, they are all looking to make the news by claiming to jump on the AI bandwagon. Today if you are not "AI enabled" people (investors) think you are a dinosaur. So AI is the new religion. At one point in time, it was "Agile" and being "data driven". The tech industry loves these fads.
This is what will happen with SBI.
He has cut his team from 100 to 20. Okay. Productivity has gone up, sure. Using AI, each developer can get more done so the productivity per developer will go up. I agree.
However, the problem is this is a snapshot in time. Not a long enough time period. The execs will get greedy and want to go from 20 to 10 and then 5. After all, their bonuses are on the line. Innovation will suffer, product updates will suffer and at some point, the team will surrender the entire code base to AI. This is a real problem, it's happened to me too when I rely on AI too much for my own projects. AI refactors the code base based on its algo and creates a new code base which works but you don't know what doesn't work because you lost control.
Watch, this is what will happen but the idiot CEO above will be long gone getting fired with a golden parachute.
Chegg is an outdated business model, that is why they are cutting jobs, not because of AI. No one needs to pay them to get homework help. You can just use ChatGPT.
Look at their 5 year stock chart. Down 98.5%. They should shut shop.
HA HA HA HA HA.
Sad that so many people are fooled by these exec charlatans.