Google DeepMind CEO Demis Hassabis said AI-driven layoffs are "dumb" in an interview ahead of the Google I/O conference in Mountain View, California.
The comments challenge a growing trend among tech giants to reduce headcount as generative AI tools automate routine coding and administrative tasks. Hassabis said that viewing AI solely as a cost-cutting tool ignores the potential for massive industrial growth.
According to Hassabis, AI can make engineers three to four times more productive [1]. He said that if engineers achieve these gains, companies should use that capacity to do more rather than firing people.
He said the decision to cut staff in the face of increased efficiency is a "lack of imagination" regarding how to harness productivity [3]. This perspective stands in contrast to recent corporate actions by other major technology firms.
Reports indicate that Amazon cut 30,000 corporate roles over a period of roughly six months [2]. Similarly, Meta shed 8,000 jobs, citing AI productivity as a factor in the reductions [2].
Hassabis said that the goal should be to expand the scope of what is possible with a more efficient workforce. By maintaining staff levels while increasing individual output, he said that companies can accelerate development cycles and tackle more complex problems—effectively multiplying their total engineering power.
The interview with Wired took place just before the annual developer conference, where Google typically unveils its latest AI integrations and hardware updates.
“"AI-driven layoffs are dumb."”
Hassabis is pushing a 'growth-first' philosophy that contrasts with the 'efficiency-first' approach adopted by companies like Meta and Amazon. If his thesis is correct, the AI era will not be defined by a smaller workforce, but by a massive increase in the volume and complexity of software and systems that a stable number of engineers can produce.
