41% of Companies Plan To Reduce Headcount by 2030 Due to AI

The World Economic Forum, an international non-governmental organization for public-private cooperation, has released the 2025 edition of The Future of Jobs Report.

The report reveals key macro trends that will shape the job market in the next five years, based on data from 1,000 global companies that employ 14 million workers in 22 industries and 55 economies.

According to the report, technological advancements, geoeconomic fragmentation, economic uncertainty, demographic shifts, and green initiatives will most impact the global labor market between 2025 and 2030.

Broadening digital access ranks as the most transformative trend, driving demand for specific skills while reducing the need for others.

Technology-related capabilities will likely surge, especially AI, big data, networks, cybersecurity, and technological literacy. Nearly 70% of surveyed employers intend to hire workers to design AI tools, and 62% plan to recruit people skilled in AI collaboration.

41% of the surveyed companies plan to downsize due to AI-driven task automation. Consequently, postal service clerks, executive secretaries, and payroll clerks are projected to see the fastest decline between 2025 and 2030.

“The presence of both graphic designers and legal secretaries just outside the top 10 fastest-declining job roles, a first-time prediction not seen in previous editions of the Future of Jobs Report, may illustrate GenAI’s increasing capacity to perform knowledge work,” the report highlights.

On a brighter note, the report forecasts over 170 million new jobs by 2030 and 92 million positions eliminated, resulting in a net gain of 78 million roles. Yet, with 39% of workers’ core skills expected to shift significantly by 2030, governments, businesses, educational institutions, and employees must collaborate to address the widening skills gap.

The report calls for urgent reskilling, upskilling, and redeployment “to bridge the divide between current capabilities and future demands.” Employers seem aware of the issue, as 77% plan to reskill and upskill their existing employees to collaborate with AI.

Overall, the latest Future of Work report remains optimistic about AI’s impact on jobs. It highlights AI’s capacity to “augment” human skills through “human-machine collaboration” rather than outright replacement.

It underscores the importance of “human-centered skills” such as analytical and creative thinking, resilience, flexibility, agility, leadership, social influence, and talent management. Alongside AI, big data, and technological literacy, these capabilities are deemed vital for 2030.

The path to 2030 seems to offer both opportunities and challenges, and those ready to adapt are most likely to thrive.