BMO Executive Calls Blaming Tech Layoffs on AI ‘Lazy’
Bank of Montreal Chief AI and Data Officer Kristin Milchanowski says the root causes of recent technology-sector layoffs are pandemic-era overexpansion and bloated organizations. She called companies’ attempts to blame AI a “lazy” explanation. Milchanowski argues that AI can increase productivity and create new roles over the long term, rather than merely replace workers.
Speaking recently at a digital banking conference, Milchanowski said BMO would use AI to drive business growth while keeping its workforce stable. That approach contrasts with some technology giants that have cited AI to justify layoffs. Reports did not specify the exact date of her remarks or disclose the number of new BMO positions, layoffs or the bank’s AI investment.
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1 original reportsThe Backstory
The history behind this eventTech Companies Accused of Using AI to Justify Layoffs That Correct Past Overexpansion
From 2020 to 2022, major global technology companies expanded aggressively as the pandemic fueled digital demand and made overly optimistic bets on some new businesses. As demand receded, staffing levels and cost structures became misaligned, triggering a wave of layoffs. Lin Shang-lun argues that attributing all workforce reductions to AI obscures corporate responsibility for earlier management and investment decisions.
In a recent commentary, lawyer Lin Shang-lun said AI is currently better suited to accelerating workflows and is not yet capable of replacing skilled professionals across the board. Tech companies portraying layoffs as AI-driven are, in many cases, actually correcting overexpansion and misguided bets made from 2020 to 2022. The related report did not identify specific companies or disclose the number of layoffs, any financial amounts or the exact publication date.
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