Startups: Atlassian jumps on the bandwagon and fires 1,600 employees to invest in AI

After names like Block, Google and, in Brazil, Stone, a corporate software company cuts 10% of the global picture

It has already become a trend. After names like Block, Google and, in Brazil, Stone, it is the turn of – one of the largest corporate software companies in the world – to announce mass layoffs with AI at the center of the justification. Last Friday (14), the Australian company confirmed the 10% cut in its global workforce, equivalent to around 1,600 employees.

According to the owner of applications such as Trello and Jira, the decision brings a “rebalancing” of resources to focus on “the future of teamwork in the age of AI.” In other words, the company that sells collaboration tools decided that collaborating with fewer people is more efficient.

The distribution of cuts follows a clear geographic logic. Forty percent of the layoffs – around 600 people – will come from North America. Australia accounts for another 30% and India for 16%.

CEO Mike Cannon-Brookes made a point of making it clear that the company does not adopt the philosophy that AI would replace people, but he complemented the phrase with a peculiar caveat. According to him, AI does change the mix of necessary skills and the number of positions in certain areas.

Atlassian is just another in a line of companies that are eliminating jobs to reduce costs and gain efficiency through the use of AI. At the end of last month, Jack Dorsey, founder of Twitter and CEO of Block, announced the cut of 4,000 employees, 40% of the fintech’s global workforce.

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