Shopify is changing the way its teams grow. CEO Tobi Lütke has introduced a new rule: before asking to hire more people or request extra resources, teams must first prove that AI can’t do the job.
In a recent memo shared publicity, Lütke said teams should explore how their work would look if AI tools or autonomous agents were already helping out. He believes this approach could inspire creative thinking and new projects within the company.
This move is part of a larger shift in the tech industry, where many leaders are turning to AI to boost productivity and reduce the need for larger teams. While the idea may raise concerns about job security, especially as AI becomes more capable, companies are moving fast to use the latest tools.
Shopify, which had about 8,100 employees in 2024, has already made major changes. Last year, the company reduced its workforce by 20%. Reports also say that some customer service jobs were quietly cut in January this year.
Shopify is not alone in this shift. Klarna’s CEO, Sebastian Siemiatkowski, has said that their AI chatbot now handles work that used to require 700 people. He also mentioned that the company’s total staff could shrink from 4,000 to just 2,000, thanks to AI.
As more businesses adopt AI, the trend is clear: companies want to do more with fewer people. The focus is on finding smarter, faster ways to work- with AI playing a key role.
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