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CNBC reports on companies that have walked back their hiring plans after rapidly changing their minds that artificial intelligence can “do it all,” to focus more on human capital. Ford has rehired hundreds of experienced human engineers to work on quality issues that automated systems couldn’t fix, and Commonwealth Bank of Australia and IBM are also said to be refocusing on human capital after making layoffs while investing in AI. IBM replaced its HR functions with AI that handled around 94% of routine requests but was unable to meet the other 6%, which included ethical dilemmas. “Budgeting on ‘tech to replace humans’ without investing in training or upskilling left teams unprepared to leverage AI,” a report from Intuition Labs observed. “Notably, among companies pushing automation, many later ‘regretted’ layoffs, having cut the very people needed to oversee AI,” it added.
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