• 55% of the businesses that made AI-induced redundancies regret it
• 38% of leaders still don’t understand AI’s impact on their business
• Humans are essential, but AI investments continue to rise

According to organizational planning platform Orgvue, two in five (39%) UK businesses made redundancies due to their AI adoption and hopes for the technology, however more than half (55%) of them are now admitted those redundancy decisions were wrong.

Consequences of the AI-induced redundancies include widespread internal confusion, leading to employees quitting and a drop in productivity – the exact opposite of what businesses had initially hoped for with the deployment of artificial intelligence.

Having seen how it’s played out, businesses are now less likely to believe that AI will replace human workers after all.

Business leaders regret prioritizing AI over human workers

The report uncovers huge amounts of uncertainty over AI’s impacts on the workforce. Two in five (38%) leaders still don’t understand AI’s impact on the businesses, with 25% unsure which roles are most at risk from AI.

Despite only 48% of managers expecting AI will replace some workers compared with 54% last year, leaders reportedly feel less responsible in protecting their workfor