WiseTech begins redundancies – but omits ‘AI’ from emails to Chinese employees, workers say
Summary
WiseTech, a logistics software company, has started laying off employees due to advances in artificial intelligence (AI). However, emails sent to Chinese staff did not mention AI, likely because of legal issues following a court case in China about AI-related job cuts.Key Facts
- WiseTech plans to cut about 2,000 jobs worldwide, around 30% of its 7,000 employees.
- The layoffs are linked to changes caused by AI in the workplace.
- The redundancy process began in South Korea and Mexico and will soon start in Australia and other countries.
- Emails to Chinese employees removed the word “AI” and some explanations used in emails to other countries.
- This change in wording is believed to respond to a recent Chinese court case where a worker, fired for AI replacement, was awarded compensation.
- WiseTech says communication varies by country because of different legal rules, but their obligations to employees remain the same everywhere.
- Employees have expressed low morale and frustration due to long delays and unclear communication about the layoffs.
- Some workers have postponed important life decisions, like holidays or buying homes, while waiting for news about their jobs.
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