Global Union Says AI Being Used As Excuse For Layoffs

By Kisean Joseph

kisean.joseph@antiguaobserver.com

A global labour organisation says company executives are falsely citing artificial intelligence as the driving force behind widespread job cuts, when budget constraints and organisational restructuring are the real causes.

UNI Global Union Americas Regional Director Marcel Monsani made the disclosure during a visit to Antigua and Barbuda, citing survey findings that revealed 59 per cent of chief executive officers admitted to using AI as justification for retrenchments that were not primarily technology-driven.

According to Monsani, the survey found budget restrictions and organisational changes, not artificial intelligence, ranked as the top reasons behind workforce reductions, with technology coming in third.

“Most of them, 59 per cent, had said they are using AI as an excuse to cut back. It’s not the real cause. The real cause is still the budget restrictions or organisational changes,” Monsani said.

Despite the rapid rise of AI across industries, Monsani noted that employer hiring criteria continue to place human capabilities above all else. He said research into company recruitment profiles consistently shows that problem-solving ability, teamwork, and communication skills remain the top three qualities employers seek when filling positions, suggesting that human capital is far from obsolete.

Monsani said the data points to a troubling gap between corporate messaging and corporate behaviour and called on companies to engage honestly with workers and their union representatives rather than using technological change as cover for cost-cutting.

“We need to put the companies in the right place and say to them that they should not use it as an excuse,” he said, adding that companies must instead have a fair conversation about the genuine impact of AI on employment and chart a path forward with workers’ interests in mind.

Monsani says companies must stop hiding behind technology and have an honest conversation with workers about the real impact of change, rather than simply using it to drive up profit margins.

The remarks came as UNI Global Union concluded a four-country Caribbean tour, with Antigua and Barbuda serving as the final stop following visits to Trinidad and Tobago, the Bahamas, and Jamaica.