As more businesses deploy AI, fears of mass layoffs are everywhere.
But in contact centers, where AI is expected to have one of the largest impacts, layoffs are not widespread. Instead, representatives are more likely to take on new responsibilities with the introduction of AI.
Among service and support leaders, 85% are expanding human agent responsibilities, according to a Gartner survey of more than 320 service leaders released last week. Meanwhile, 31% have implemented or are planning layoffs due to AI through the first quarter of 2027.
“They are far more likely to be pursuing workforce redesign rather than role elimination,” Kathy Ross, VP analyst in Gartner customer service and support practice, told CX Dive.
While there are some layoffs due to AI, Gartner has found that they are most often to save money to invest in AI — not because the technology has been so successful in taking over customer service representatives jobs.
“We are seeing some success and value with AI, but it's not completely replacing all of the tasks within a human agent's work,” Ross said. “The customer service and support leaders feel that their human agents are still very, very valuable in the equation of service and support.”
Simple and repetitive tasks are being automated in self service, and AI can augment human agents with such tasks as knowledge management and call summarization, both of which drive some efficiency. But that efficiency isn’t enough to cut agents out of the equation.
Instead, contact centers are pursuing reduced workforce via attrition. Half of the service leaders surveyed say they have or plan to pause hiring within the next 18 months, according to Gartner.
Kustomer CEO Brad Birnbaum says among his company’s customers, he’s seeing companies both reduce headcount and pause hiring — even as they grow.
But Birnbaum says that his company firmly believes human representatives are still needed.
“At Kustomer, we don't currently believe — and the models will change one day — but right now, based on the current technology, we don't believe in a world of zero humans,” he said. “We do see a world of reduced humans.”
Representatives are taking on new tasks: 84% of contact center leaders are revising the skills or experience required for new agent hires, Gartner found. More than three-quarters are or are planning on shifting agents into different roles within service and support.
“Service and support leaders are really thinking about how they can redefine that workforce and move their capacity by driving higher-value interactions that are going to support growth and loyalty for that and long-term efficiency,” Ross said. “So it's a little bit about making space by leveraging AI, reducing some of those transactional issues upfront, making space for the human workforce to draw more value.”
Birnbaum agrees. He points to Nvidia CEO Jensen Huang’s commentary from last spring.
“You’re not going to lose your job to an AI, but you’re going to lose your job to someone who uses AI,” Huang said.
