Morgan Stanley AI Job Cuts

What happened

Morgan Stanley reported that British firms experienced an 8% net reduction in jobs over the past year due to artificial intelligence. This figure is double the international average and represents the highest impact among surveyed nations, including the US, Germany, Japan, and Australia. The reductions specifically affected roles such as software developers and consultants, with a prioritisation of cutting entry-level positions requiring two to five years of experience.

Why it matters

This introduces an increased exposure for Human Resources and Workforce Planning functions to managing AI-driven workforce displacement, particularly concerning early-career roles and specific technical professions. It raises the oversight burden for these roles in anticipating and responding to concentrated job reductions within the UK, reducing visibility into the specific mechanisms of AI-induced job loss and potentially weakening traditional workforce planning indicators.