{"id":393924,"date":"2025-09-03T06:55:15","date_gmt":"2025-09-03T06:55:15","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/393924\/"},"modified":"2025-09-03T06:55:15","modified_gmt":"2025-09-03T06:55:15","slug":"salesforce-sacrifices-4000-support-jobs-on-the-altar-of-ai-the-register","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/393924\/","title":{"rendered":"Salesforce sacrifices 4,000 support jobs on the altar of AI \u2022 The Register"},"content":{"rendered":"<p>Speaking ahead of Labor Day \u2013 celebrated in the US to recognize the nation&#8217;s labor movement \u2013 Salesforce CEO and co-founder Marc Benioff said the company had slashed 4,000 customer support roles through the application of AI agents.<\/p>\n<p>&#8220;I&#8217;ve reduced it from 9,000 heads to about 5,000 because I need less heads,&#8221; he told The Logan Bartlett Show podcast on Friday, as if to underscore the need to humanize the tech workforce.<\/p>\n<p>Benioff explained that he needed to &#8220;rebalance&#8221; the number of people employed in support with those in sales.<\/p>\n<p>He said using AI agents had caused the rethink of the CRM SaaS company&#8217;s organizational shape and employment numbers. Now half of all conversations with customers are conducted by AI systems, Benioff claimed, with humans handling the rest. But LLMs could not do everything, he admitted.<\/p>\n<p>He said that the new AI agents could call back all customer leads, whereas its human workforce had previously failed to return about 100 million calls due to staffing limits.<\/p>\n<p>Benioff&#8217;s confidence in AI agents, which \u2013 entirely coincidentally \u2013 Salesforce is banking on selling to its customers, belies concerns about the technology&#8217;s effectiveness in the real world.<\/p>\n<p>In June, IT consultancy Gartner <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2025\/06\/29\/ai_agents_fail_a_lot\/\" rel=\"noopener\">said<\/a> that more than 40 percent of agentic AI projects would be cancelled by the end of 2027 due to rising costs, unclear business value, or insufficient risk controls.<\/p>\n<p>In fact, <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2025\/06\/16\/salesforce_llm_agents_benchmark\/\" rel=\"noopener\">Salesforce&#8217;s own study provided a benchmark<\/a> that showed LLM-based AI agents perform below par on standard CRM tests and fail to understand the importance of customer confidentiality. In June, a team led by Kung-Hsiang Huang, a Salesforce AI researcher, published results showing that GenAI agents achieved only a 58 percent success rate on tasks that can be completed in a single step without needing follow-up actions or more information.<\/p>\n<p><a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2025\/08\/01\/forrester_ai_enterprise_software\/\" rel=\"noopener\">Separate research from Forrester<\/a> suggests that enterprise application vendors are using their entrenched positions among customers to end discounting and push high-margin AI products. &#8220;The era of monetization has begun,&#8221; the report states. Vendors under the microscope in the study included Oracle, SAP, Workday, Microsoft, ServiceNow, and Salesforce.<\/p>\n<p>Benioff <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2024\/08\/29\/salesforce_pricing_per_ai_conversation\/\" rel=\"noopener\">has been keen to show how AI will reap returns for investors<\/a>. Last year, he said investors were worried that the pool of billable &#8220;seats&#8221; would shrink as AI agents took over human roles.<\/p>\n<p>But he said consumption-based pricing for AI agents would ensure it was a &#8220;very high margin opportunity&#8221; for Salesforce.<\/p>\n<p>Salesforce follows <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2024\/08\/29\/ai_hiring_freeze_klarna\/\" rel=\"noopener\">buy-now-pay-later outfit Klarna<\/a> in wanting to reduce headcount with AI agents. CEO Sebastian Siemiatkowski predicted he could cut 1,800 from the 3,800 people the company employs through AI investment. However, this spring, the company <a target=\"_blank\" rel=\"nofollow noopener\" href=\"https:\/\/www.customerexperiencedive.com\/news\/klarna-reinvests-human-talent-customer-service-AI-chatbot\/747586\/\">reportedly<\/a> put more people back into customer service. Duolingo, meanwhile, said <a target=\"_blank\" href=\"https:\/\/www.theregister.com\/2025\/04\/29\/duolingo_ceo_ai_first_shift\/\" rel=\"noopener\">it would gradually phase out contractors<\/a> for work that LLMs could do. \u00ae<\/p>\n","protected":false},"excerpt":{"rendered":"Speaking ahead of Labor Day \u2013 celebrated in the US to recognize the nation&#8217;s labor movement \u2013 Salesforce&hellip;\n","protected":false},"author":2,"featured_media":393925,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3163],"tags":[323,1942,53,16,15],"class_list":{"0":"post-393924","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-technology","11":"tag-uk","12":"tag-united-kingdom"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/115139059646285249","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/393924","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=393924"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/393924\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/393925"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=393924"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=393924"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=393924"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}