Deloitte, a prominent member of the ‘big four’ consulting firms, is pioneering an innovative strategy to mitigate the impact of mass layoffs by harnessing the power of Artificial Intelligence (AI).
In the face of the unprecedented uncertainty that has engulfed the job sector over the last 14-15 months, the advent of AI and the deployment of various companies’ AI and machine learning models have raised pertinent questions about the role of humans versus AI in replacing jobs. The global workforce has witnessed substantial job losses amid economic slowdown and uncertainty. Despite the pervasive nature of mass layoffs, Deloitte is charting a different course by leveraging AI to address this challenge.
A recent report by Bloomberg sheds light on Deloitte’s strategic shift towards AI to alter the prevailing trend of workforce reductions involving hundreds or thousands of employees. Deloitte is reportedly undertaking a comprehensive evaluation of its existing employees’ skill sets, devising a plan to transition them from routine tasks to more challenging responsibilities in the evolving business landscape. This evaluation is an integral part of Deloitte’s broader strategy to foster hiring growth in the foreseeable future.
Deloitte’s proactive approach to assess and map its workforce based on skills aligns with its ambitious plan to hire approximately 130,000 employees in the year 2023. However, amidst this hiring surge, the company has cautioned its employees in the US and UK about potential job uncertainties. Allegedly forced to restructure certain departments due to a slowdown in demand, Deloitte aims to navigate these challenges while minimizing the impact on its workforce.
Steven Rolls, the Global Chief Talent Officer at Deloitte, emphasized the company’s objective of avoiding significant fluctuations in hiring and layoffs. He stated, “It is obviously a great objective to be able to avoid large swings of hirings and layoffs. You could always be more efficient and effective about finding the right people.”
It’s noteworthy that Deloitte’s integration of AI into workforce management is not an isolated effort but part of a broader industry trend. Competing professional services firms have been experimenting with generative AI to automate repetitive tasks traditionally assigned to junior staff. Tasks such as document preparation for internal meetings and data compilation for client presentations are being streamlined through generative AI, exemplified by technologies like ChatGPT, which generates responses based on extensive training on existing materials.
In the context of Deloitte’s recent initiatives, the company is reportedly aiming to extend the use of AI beyond task automation to effectively handle the influx of thousands of employees annually. With a total headcount nearing 460,000 following the recent hiring surge, Deloitte acknowledges the imperative for a strategic talent management approach to sustain its growth trajectory.
Commenting on potential challenges associated with continued exponential growth, Rolls expressed concern about the prospect of hiring a quarter of a million people annually in the event of Deloitte’s continued success. This highlights the need for innovative solutions to manage the complexities of a rapidly expanding workforce in the midst of AI-driven transformations.
