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Companies Cut Service Jobs Before AI Shows Results

Gartner finds four percent of customer-service leaders got the payoff they expected from AI, while employers already cut thousands of jobs on the bet.

3 min read · 665 words · 6 sources
The Commonwealth Bank of Australia headquarters at Martin Place in Sydney
“Gartner asked 275 customer-service leaders if artificial intelligence paid back what they spent on it. Four percent said yes. Does a 4 percent return justify the jobs this year's layoffs already cost?”

Gartner surveyed 275 customer service and support leaders in July and August 20261. Only 4 percent said their artificial intelligence tools had delivered the return they expected. The research house released the finding Nov. 4, at its own conference in Denver. These service teams already spend on AI tools, past the pilot stage.

Only 4 percent of customer service teams got the AI return they expected

Share of 275 service and support leaders reporting the AI return they expected, Gartner survey, July to August 2026

The lit arc is the share of leaders who got the return they expected from AI; the rest of the ring still waits on it.

Data through Aug. 31, 2026. Sample: 275 customer service and support leaders surveyed by Gartner, July to August 2026.

Source: Customer Experience Dive [1]. Chart by Ryan Elliott Dennis.

The numbers behind this chart
ItemValue
Reached the expected return4%
Whole100%

The easy reading says the hype is dying and jobs are safe. Ninety-six percent of teams got less value than they planned. Read that figure beside this year's layoffs, and the easy reading fails. Employers are shedding customer service jobs on a bet most of their peers are still losing.

This bet runs past two companies. A separate Gartner survey of 321 leaders found 31 percent cutting or planning cuts for AI through early 20276. Another 63 percent were cutting the same jobs more slowly, through attrition. Eric Keller, a senior director analyst at Gartner, framed the choice ahead of every one of those leaders: "Service leaders must decide whether to simply do the same work at lower cost or to redeploy human agents into roles that AI cannot replace and that customers value most," he said.

Salesforce moved first. Chief Executive Marc Benioff said as much on the Logan Bartlett Show podcast in September 20252. "I've reduced it from 9,000 heads to about 5,000, because I need less heads," he said. Salesforce's own case reads as proof the bet pays off, since the business kept running after the cuts.

Salesforce cuts support staff from 9,000 to about 5,000

Salesforce customer support staffing before and after AI deployment, as Chief Executive Marc Benioff described it, September 2025

Each column is one point in time; the shorter column is the staff level Benioff says AI let him reach.

Data through Sept. 4, 2025.

Source: CX Today [2]. Chart by Ryan Elliott Dennis.

The numbers behind this chart
ItemValue
Before AI9,000
After AI5,000
Marc Benioff, chief executive of Salesforce, who says AI agents let him cut support headcount
Marc Benioff, Salesforce's chief executive, told the Logan Bartlett Show podcast in September 2025 that software let him cut support staff from 9,000 to about 5,000.JD Lasica from Pleasanton, CA, US / Wikimedia Commons, CC BY 2.0

Commonwealth Bank ran the same bet a year earlier and lost it. The bank dismissed 45 service staff in 2025, betting a voice bot would cut call volumes by 2,000 calls a week4. Call volumes climbed, and the bank brought every one of those workers back. Julia Angrisano, national secretary of the Finance Sector Union, read the reversal plainly: "Using AI as a cover for slashing secure jobs is a cynical cost-cutting exercise, and workers know it," she said.

The bank forgot the lesson within a year. Commonwealth Bank cut hundreds more contractor roles at an outsourced call center in Johannesburg in 20263. Its Australian headcount dropped by 276 more positions that same July.

Finance Sector Union figures counted nearly 800 roles gone across the bank in a single year3. Its own AI chat system now closes nine of every ten customer chats on its own, a result executives can point to.

Gartner's own analysts expect many of today's cuts to reverse. The firm predicts 50 percent of companies that blame AI for a headcount cut will rehire for the same work by 20275. That share comes from 100 companies Gartner studied. Christopher Sladdin, a senior director analyst at the same research house, framed the lesson plainly: "Humans and AI are not fit for the same job. Each can deliver value but in different ways," he said1.

Gartner expects half of AI-blamed service cuts to reverse by 2027

Share of companies that cut customer-service staff for AI and are expected to rehire for the same work by 2027, Gartner forecast

Each cube is one company that blamed AI for a customer-service cut; the lit cubes are the half Gartner expects to rehire for the same work by 2027.

Data through Feb. 3, 2026.

Source: CMSWire [5]. Chart by Ryan Elliott Dennis.

The numbers behind this chart
ItemValue
Expected to rehire by 202750
Cut stands50
Whole100

Kathy Ross, a Gartner analyst who studies the same leaders, points to a different driver. "Most recent workforce reductions were influenced by broader economic conditions rather than automation alone," she said5.

Who pays first is clear. Commonwealth Bank made the decision in Sydney, while contractors in Johannesburg, hired through an outsourcer named Nutun, lost the jobs3. Who profits is just as clear. An executive who tells investors headcount fell can claim the win today, long before a Gartner survey checks the result.

The Salesforce Tower rising over San Francisco in 2023
The Salesforce Tower stands over San Francisco in 2023, the headquarters of the company whose chief executive says he can claim a win on headcount years before any survey checks whether AI earned it.The wub / Wikimedia Commons, CC BY-SA 4.0

The worker carries the risk, caught between the cut and any rehire. This year's cut either holds or reverses, the way Commonwealth Bank's did in 2025.

Ninety-six percent still waits on proof. Service workers are losing jobs for a technology that delivered its promised return for only 4 percent of the teams Gartner surveyed1. Call this one bet among 365, the industries this column tracks in turn.

The Signal, our free daily email, follows the people moves behind artificial intelligence, industry by industry. Read it, and the next bet reaches you before it reaches your own company.

Sources

  1. Matt Vartabedian, "Only 4% of customer service teams have achieved expected ROI from AI. Here's what needs to change.," Customer Experience Dive, Nov. 4, 2026, https://www.customerexperiencedive.com/news/only-4-of-customer-service-teams-have-achieved-expected-roi-from-ai-here/873732/
  2. Charlie Mitchell, "Salesforce CEO Pressed on Cutting 4,000 Customer Support Reps," CX Today, Sept. 4, 2025, https://www.cxtoday.com/contact-center/salesforce-ceo-pressed-on-cutting-4000-customer-support-reps/
  3. Jhoanna Hines, "CBA axes contractor call centre jobs after AI rollout," HCAMag, July 29, 2026, https://www.hcamag.com/au/specialisation/hr-technology/cba-axes-contractor-call-centre-jobs-after-ai-rollout/584060
  4. Anuradha Mukherjee, "CBA Rehires 45 Workers After Its Experiment with AI Goes off Track," The HR Digest, Aug. 22, 2025, https://www.thehrdigest.com/cba-rehires-45-workers-after-its-experiment-with-ai-goes-off-track/
  5. Tue Sottrup, "The Great Customer Service AI Rehiring Is Coming," CMSWire, Feb. 20, 2026, https://www.cmswire.com/customer-experience/the-great-customer-service-ai-rehiring-is-coming/
  6. Matt Vartabedian, "AI isn't causing human CX agent layoffs, Gartner finds," No Jitter, April 30, 2026, https://www.nojitter.com/contact-centers/ai-isnt-causing-human-cx-agent-layoffs-gartner-finds

Header photo: Sardaka / Wikimedia Commons, CC BY-SA 4.0

In the market

SalesforceCRM

Market value $179 billion

$217.84 +0.12% since the last close

GartnerIT

Market value $12 billion

$192.15 +0.69% since the last close

Prices from Yahoo Finance, read with yfinance, and delayed. This is a record of price, not investment advice.

Ryan Elliott Dennis is founder and editor of Ai Lately. He writes the daily column.

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Where this story happensJohannesburg, Denver and Sydney
  • Johannesburg South Africa
  • Denver United States
  • Sydney Australia

Map: Natural Earth land through world-atlas, drawn by Ai Lately.

Cite this piece

Ryan Elliott Dennis, "Companies Cut Service Jobs Before AI Shows Results," Ai Lately, Nov 8, 2026, https://ailately.com/articles/companies-cut-service-jobs-before-ai-shows-results

Tags: customer service ai · gartner ai roi · salesforce layoffs · commonwealth bank ai · call center jobs

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