#gartner

Businesses tend to eye AI spending as a way to reduce headcount, but firms that cut staffers as a result of AI are doing no better than those who don’t, according to new Gartner research. Gartner recently surveyed 350 global business leaders at large organizations already using AI agents and intelligent automation tools and found that 80% of them reported a lowered headcount as a result of AI initiatives — in some cases by up to 20%.  But those layoffs appear to be less beneficial than senior leaders might assume.  “There’s no connection or correlation between people who are achieving ROI and layoffs,” said Helen Poitevin, distinguished vice president analyst at Gartner, adding that labor reduction is “not the best” ROI metric. Other factors such as revenue, growth, and time to market are more effective in achieving a strong ROI.  “Those who only look to the workforce tend to be the ‘laggards,’ because they’re not going after the broader set of value that they can get to,” she said. Th