UPS’s largest layoffs in its 116-year history were made possible, in part, by new technologies including artificial intelligence, CEO Carol Tome said last week. Citing one example, she said that machine learning allows salespeople to put together proposals without having to ask pricing experts for guidance.
UPS is among a growing number of companies facing an AI two-step of sorts: showing investors how AI helps do more with less while simultaneously avoiding the reputational impact of directly linking technology with job cuts.
A UPS spokesperson later said AI is not replacing workers, and that executives did not make an explicit connection between AI and the permanent layoffs on the company’s earnings call.