Illustration: AI
By 2029, companies will rehire around 30% of workers laid off as a result of automation, er10.kz reports, citing a Gartner forecast. Rehiring will cost businesses significantly more than keeping those jobs. For businesses in Kazakhstan, the practical takeaway is to assess the work that needs doing and staffing needs before making cuts.
What happened
Gartner links the risk of rehiring to the lack of a well-planned workforce strategy. Many executives cut staff first, then try to work out how to handle the same workload with fewer people.
Only 19% of companies have HR strategies that help identify the specialists they will need in the future. Staff cuts could therefore lead to fresh costs to bring specialists back.
What this means for Kazakhstan
For executives in Kazakhstan considering replacing employees with AI, this forecast is useful when assessing future costs. Payroll savings should be weighed against the risk of rehiring. Gartner forecasts that bringing people back will cost businesses significantly more than keeping those jobs.
The 30% figure is a Gartner forecast cited by er10.kz, however, rather than an estimate of layoffs or future hiring in Kazakhstan. It would be wrong to assume that the same proportion will apply to the workforce of any particular Kazakhstani company.
Gartner’s recommendation, as cited by er10.kz, suggests a practical sequence: start by analysing business tasks, then determine the best balance between human labour and automation.
If you are planning layoffs to make way for automation, start with this assessment. Decisions about team size should follow a clear understanding of how the company will handle its existing workload.