Criticism has been directed at an Indian CEO following his announcement that his company had implemented an AI chatbot, resulting in the replacement of 90% of its support staff. Suumit Shah, the founder of Dukaan, took to Twitter to highlight the chatbot’s significant improvements in response time and issue resolution for customer queries. However, this tweet triggered outrage among online users.
This incident occurs at a time when there is considerable discussion and unease surrounding AI’s potential to displace jobs, particularly within the service industry. Mr. Shah elaborated on his company’s decision to adopt the chatbot through a series of tweets, which garnered over a million views. He acknowledged that laying off staff had been a difficult choice but emphasized its necessity.
Explaining his rationale, Mr. Shah noted that due to the prevailing economic circumstances, startups are now prioritizing profitability rather than striving to become “unicorns,” and his company is no exception. He stated that Dukaan had long struggled with customer support and sought to address this issue. Furthermore, he detailed the rapid development of the bot and the AI platform, ensuring that all Dukaan customers could benefit from their own AI assistant. According to Mr. Shah, the bot effectively handled various queries with speed and accuracy.
“In today’s era of immediate satisfaction, establishing a business is no longer an unattainable aspiration,” he expressed. “With the right concept and team, anyone can transform their entrepreneurial dreams into reality.”
Mr. Shah also mentioned that the company was actively hiring for multiple positions.
Nonetheless, his tweets drew extensive criticism, with many users condemning his perceived callousness and the adverse impact on his employees’ lives resulting from this decision.
One user questioned, “As expected, there’s no mention of the 90% staff that were laid off. What assistance was provided to them?”
Another user remarked, “While it may have been the right business decision, it shouldn’t have been turned into a celebratory marketing thread.”
Responding to one tweet, Mr. Shah commented, “As anticipated, someone will take offense on behalf of others,” and further stated that he would address the support provided to his staff on LinkedIn since Twitter users primarily focus on “profitability rather than sympathy.”
In recent years, there has been a proliferation of generative AI tools like ChatGPT, making them more accessible to various organizations. Reports have emerged of businesses utilizing such tools to boost productivity while reducing costs. Consequently, workers have grown anxious about the potential loss of their jobs to technology.
In March, Goldman Sachs released a report suggesting that AI could displace around 300 million full-time jobs. In India, numerous companies are investing in AI development, leading to concerns about potential job losses.
