WSJ: Will AI Cut Jobs? Major US Corporations Begin Hiring Again

Major companies that scaled back new hiring over the past year or so out of concern that artificial intelligence (AI) would replace workers have begun increasing recruitment once again, the Wall Street Journal reported on the 26th, local time.

Although it is still a small-scale movement, the atmosphere reflects a resumption of hiring that had stalled across various fields to achieve growth goals and secure new technologies, the report explained.

Kristin Martin Anderson, Chief Operating Officer (COO) of Booz Allen Hamilton, which provides consulting and advanced technology services to the U.S. government and public sectors, said in a letter to investors on the 24th, "We are a bit under-staffed right now. We need to pick up the pace of hiring. We are working through that."

The company cut thousands of jobs last year as the Donald Trump administration significantly reduced contracts and demanded cost cuts.

As of the end of June, the number of employees stood at approximately 30,900, down 7.5% from a year earlier.

However, the analysis shows that demand in the national security sector, particularly for personnel requiring security clearances, is growing steadily.

Over the past 18 months, major U.S. corporations have tended to cut white-collar positions, but layoffs are now diminishing.

Last week (July 12–18), initial jobless claims dropped to 187,000, marking the lowest level in 57 years since 1969.

Sarah Franklin, CEO of workforce platform Lattice, said that employers' perception of AI's role is shifting.

While many companies stopped hiring entry-level workers under the assumption that AI could fill the gap, they have now realized that they need personnel to work alongside AI, according to Franklin.

"Just because you have coding AI doesn't mean you don't hire engineers," Franklin said, adding that companies utilizing AI tools still need related staff.

Many of Lattice's thousands of clients have now resumed hiring for various roles, particularly entry-level positions.

"Demand for labor is very high. There is a growing awareness that we need talent equipped with AI-specific skills," Franklin stated.

She explained that entry-level workers are cost-effective because they are innovative, think outside the box, and have shorter career histories.

The increase in hiring is not limited to white-collar jobs.

Tool manufacturer Snap-on stated that it plans to add staff to expand its business.

Rail transportation company CSX plans to slightly increase its train and locomotive maintenance workforce over the coming months.

The plan is to offset workforce reductions in other areas through the introduction of technology.

However, only a small number of companies have announced large-scale hiring plans.

The required personnel are also concentrated in specific types.

Alphabet Chief Financial Officer (CFO) Anat Ashkenazi stated that the company plans continued hiring in fields such as AI and cloud computing.

Software company ServiceNow plans to hire more field sales representatives to drive growth in the cybersecurity sector.

Keith Waddell, CEO of staffing firm Robert Half, said, "The impact of AI on the job market has been much more positive than some feared," adding, "Hiring demand continues to grow, and market conditions are becoming increasingly favorable for our business."

At the same time, voices of concern persist, noting that many uncertainties remain surrounding the advancement of AI.

Paul Osterman, an MIT professor and author of the book on employment changes "Disposable Workers," warned, "No one knows whether we will need more or fewer workers," adding that arguments that AI will replace humans and reduce costs for shareholders will continue to be raised.

(Photo: Getty Images)
※ Please note: This article was translated by AI and may contain errors.