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Home » AI News » What ClickUp’s mass layoff tells us about the future of work
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AI News

What ClickUp’s mass layoff tells us about the future of work

CryptoAINewsBy CryptoAINewsMay 25, 2026No Comments3 Mins Read
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AI’s greatest champions have argued for a while that the know-how will usher in an period of unprecedented productiveness positive factors, richly rewarding employees who harness it whereas displacing those that don’t.

Zeb Evans, CEO of the collaboration software program startup ClickUp, claims that this shift is imminent. Final Thursday, Evans announced on X that the corporate, which was final valued in 2021 at $4 billion, had laid off 22% of its workforce but characterised that discount as not a cost-cutting measure, however reasonably a radical embrace of AI that can propel the corporate to the following degree.

“Most financial savings from this modification will stream instantly again into the individuals who keep. We’ll be introducing million-dollar wage bands. Should you create outsized affect utilizing AI, you’ll be paid outdoors of conventional bands,” Evans wrote.

ClickUp not too long ago launched roughly 3,000 inside AI brokers to deal with a variety of advanced duties on behalf of its staff, in line with a Fortune article printed a number of days in the past. As an alternative of performing the work themselves, employees members are actually anticipated to direct these brokers and finally assessment the output to make sure it meets the corporate’s requirements.

Evans’s aim, in line with his X put up, is for AI to turbocharge ClickUp right into a “100x org.”  

ClickUp shouldn’t be alone in its hope that AI brokers will present large productiveness positive factors.

In truth, in line with a current Gartner survey, about 80% of firms utilizing autonomous tech have reduce jobs. Nonetheless, the research discovered that workforce reductions aren’t necessarily translating into significant monetary returns.

Whereas Gartner’s findings counsel some firms use unproven AI as an excuse to downsize, ClickUp maintains it’s not one among them.

Evans advised TechCrunch by way of e mail that the startup is certainly seeing productiveness positive factors from AI brokers. Not solely is ClickUp measuring these efficiencies internally, however it’s additionally apparently gearing as much as embody them in a forthcoming product for its prospects.   

“As an alternative of gamifying token price, we gamify worth created and time saved,” Evans wrote.

In current months, a rising variety of firms have began monitoring worker token consumption, utilizing it as a metric to see who is definitely adopting AI instruments. However critics argue that “tokenmaxxing”—as this idea is understood—is the unsuitable metric as a result of it merely racks up AI bills.

“The folks that automate their jobs with AI will all the time have a job,” Evans claimed in his put up. But when AI retains taking up extra duties, ClickUp will finally want fewer and fewer individuals, eliminating those that fail to automate their capabilities properly.

Tech circles have lengthy theorized about this situation.

One excessive instance of a high-profile startup utilizing AI automation to the max already exists. Polsia, a one-year-old startup that claims to deal with all software program operations for solopreneurs, is run by only one particular person: its founder and CEO, Ben Broca. That effectivity is outwardly paying off: Polsia simply raised $30 million at a $250 million valuation.

Whenever you buy by hyperlinks in our articles, we may earn a small commission. This doesn’t have an effect on our editorial independence.



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