Business AI

Enterprises Cut Jobs for AI While 95% of Pilots Fail to Show ROI

Reports detailed a paradox where firms like TCS and Accenture are laying off staff for AI efficiency, yet most companies see no financial return.

Olivia Sharp 1 min read 635 views
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A new report highlighted a major disconnect in enterprise AI adoption, with companies cutting thousands of jobs for AI efficiency while a recent MIT study found 95% of AI pilots fail.

AI-Driven Workforce Reductions

Several major technology and consulting firms announced significant job cuts in 2025, explicitly linking the reductions to a strategic shift toward artificial intelligence. According to a report, Tata Consultancy Services (TCS) announced its "steepest job-cuts ever" as it reorganizes to focus on automation. Consulting firm Accenture also announced it would cut thousands of jobs to prioritize its AI capabilities. The impact was also felt in customer-facing roles, where Salesforce's customer support headcount dropped from 9,000 to around 5,000, a reduction CEO Marc Benioff attributed to AI's ability to automate routine interactions.

The Widespread Failure of …

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