The AI layoffs debate becomes more complex as Salesforce CEO Marc Benioff makes plans to hire 1,000 graduates during AI push, directly challenging the theory that AI will eliminate early-career opportunities.
At the same time, a Gartner survey found that 85% of service and support leaders are increasing human agent responsibilities amid these layoffs, with leaders expected to pursue workforce redesign over elimination.
With this debate still alive and well, AI is reducing certain jobs but also reshaping and increasing the importance of the human roles that remain.
Replying to a post on X, Benioff argued that AI is not eliminating entry-level jobs, but rather shifting them, with new graduates actively being hired to build and operate Salesforce's latest AI systems.
“We’re hiring 1,000 new grads & interns right now to ride the AI exponential. You are right they said AI would kill entry-level jobs," he announced.
“Meanwhile these grads & interns are building it – powering Agentforce & Headless360 at Salesforce.”
Redirecting Workforce Spending Toward AI Infrastructure
The recent wave of mass layoffs reflects a structural shift in how large technology firms are reallocating resources rather than a simple story of jobs being directly replaced by AI.
In the case of Oracle, the company cut 30,000 jobs at the end of March as one of its largest ever reductions, driven by financial and strategic planning, redirecting billions of dollars toward AI infrastructure to fund its transition.
By cutting operating costs and freeing capital to compete in an AI-driven market, these companies are prioritizing long-term investment in cloud and AI capabilities over maintaining legacy workforce structures.
This includes shifting resources from labor-intensive functions toward scalable, technology-led growth while reshaping the types of roles it needs rather than eliminating the need for human work entirely.
Salesforce Cuts Contrast With Continued Hiring
Despite these mass layoffs, recent signals from Salesforce and Gartner indicate that the AI layoffs debate is far from resolved and is instead becoming more complex.
Indeed, new LinkedIn’s insights have uncovered that early-career hiring remains a priority for many businesses, with those such as IBM and Accenture having invested in entry-level hiring and training.
With companies continuing to invest in human talent even as automation expands, Gartner’s recent survey shows that only 31% of service leaders are planning AI-driven reductions.
Eric Keller, Senior Director Analyst in the Gartner Customer Service & Support practice, explains that as AI takes over routine tasks, companies face a choice between cost-cutting or shifting human workers into higher-value roles.