In a recent memo, Shopify CEO Tobi Lütke introduced a significant policy shift, requiring teams to justify why AI cannot fulfill a role before they request additional headcount and resources.
Lütke publicly shared the memo on social media, stating that teams must “demonstrate why they cannot get what they want done using AI.” He further encouraged consideration of how autonomous AI agents might already be integrated into the team, suggesting that this could spark engaging discussions and projects.
The suggestion that AI could help Shopify reduce its workforce is likely to stir controversy amid ongoing concerns about AI’s impact on employment. A recent report from the United Nations’ Trade and Development organization estimates that AI could disrupt over 40% of jobs globally.
However, Lütke is not alone in exploring AI for improved efficiency. Other tech industry leaders share this perspective. Sebastian Siemiatkowski, CEO of Klarna, has highlighted that Klarna’s AI chatbot effectively performs the work of 700 customer service agents. He also mentioned that AI advancements could potentially reduce Klarna’s workforce to 2,000 employees, from its current 4,000.
As of 2024, Shopify employed approximately 8,100 individuals. The previous year, the company reduced its staff by 20%. Additionally, in January, Shopify reportedly implemented discreet layoffs within its customer service department, as covered by Business Insider.