SAP Adds 3,500 Net Jobs Since 2023 as AI Reshapes Work After 10,000 Cuts
Updated
Updated · The New York Times · Jul 2
SAP Adds 3,500 Net Jobs Since 2023 as AI Reshapes Work After 10,000 Cuts
3 articles · Updated · The New York Times · Jul 2
Summary
More than 3,500 net jobs have been added at SAP since 2023, even after the German software group cut nearly 10,000 roles in a restructuring partly tied to AI.
SAP says it is trying to avoid further layoffs by reskilling staff and shifting engineers away from routine coding toward supervising AI agents, customer work and other higher-value tasks.
Christian Klein, SAP’s chief executive, said he does not expect a smaller workforce in two or three years, but “a very, very different work force” as coding itself changes.
The approach highlights how a major software company is using AI not just to automate work but to remake job descriptions and its business model at the same time.
While customers face a talent crunch, why is SAP cutting the very specialists needed for its AI-driven future?
With its stock down 35%, is SAP's AI workforce transformation a winning strategy or just a costly experiment?
SAP’s $1 Billion Bet on AI and Cloud: Strategic Shifts, Employee Impact, and Future Risks (2023–2026)
Overview
Between 2023 and 2026, SAP made a bold shift toward AI and cloud computing, reshaping its product portfolio, operations, and workforce. By embedding advanced AI—especially through Joule Agents—across all business lines, SAP optimized key functions like finance, supply chain, and HR. This transformation led to higher productivity and new skill demands for employees, while also requiring closer collaboration between consultants and engineers. Financially, SAP saw strong cloud revenue growth and exceeded profit expectations. However, these rapid changes brought challenges in workforce adaptation and morale, mirroring trends seen in other major tech companies.