A growing share of employers believe artificial intelligence will lead to workforce reductions within the next 12 months, according to new research from the
Chartered Institute of Personnel and Development (CIPD). The findings highlight a rising sense of vulnerability among white-collar workers as automation technologies advance rapidly across industries.
The CIPD survey, which gathered responses from hundreds of UK employers, found that one in six organisations (around 17%) expect to reduce headcount because of AI adoption. While job displacement linked to automation has long been predicted, the new data suggests that the impact may come sooner—and at a broader scale—than many employees anticipated.
White-collar roles under pressure
Unlike previous waves of automation that primarily affected manufacturing and manual labour, today’s AI tools increasingly target professional, administrative and analytical tasks. The survey indicates that employers expect white-collar roles—such as administrative support, customer service, data processing, and some middle-management positions—to face the greatest disruption.
Many organisations report that generative AI tools are now capable of performing tasks once considered the exclusive domain of skilled knowledge workers: drafting reports, analysing datasets, producing marketing content, summarising complex documents, and even supporting legal or financial workflows. The speed of adoption has left HR departments recalibrating workforce plans far earlier than anticipated.
Not all employers plan to cut jobs
Despite the concerns, the majority of employers surveyed expect AI to transform jobs rather than eliminate them outright. Around a third of organisations say they anticipate **redeploying employees into new or redesigned roles**, and many expect AI to boost productivity, reduce repetitive work, and improve the quality of decision-making.
“AI has real potential to enhance human work, but that will only happen if organisations invest in upskilling and support their people through this transition,” the CIPD noted in its analysis.
Skills and training: a critical gap
The survey also highlights a widening skills gap. Only a minority of employers report having robust training programmes in place to help staff adapt to AI-driven changes. Without proper investment in reskilling, the risk of displacement—particularly for administrative roles—could rise significantly.
Experts warn that as AI becomes embedded in everything from office software to customer-service platforms, digital literacy, data skills, and critical thinking will become essential for job security. However, many employees feel underprepared for the shift.
A call for responsible adoption
The CIPD is urging companies to adopt AI responsibly, emphasising transparency, employee involvement, and long-term workforce planning. The organisation argues that employers should treat AI deployment as a strategic change initiative—not just a cost-cutting opportunity.
While the new findings show a clear threat to some white-collar roles, they also underscore a larger opportunity: with thoughtful implementation, AI could free employees from monotonous tasks and allow them to focus on higher-value work.
The year ahead
With one in six employers anticipating job cuts in the coming year, 2025 could mark a turning point in the relationship between AI and work. As automation accelerates, the challenge for businesses, workers, and policymakers will be ensuring that the benefits of AI are shared—and that the workforce is prepared for the transformation now underway. Photo by mikemacmarketing, Wikimedia commons.