**AI Gains Should Fund Growth Rather Than Facilitate Job Cuts, Says Executive**
In a recent discussion on the impact of artificial intelligence (AI) on the workforce and business growth, Paul Griggs, a senior partner at PwC US, emphasized the need for companies to reinvest the productivity gains from AI into new products, markets, and customer engagement rather than using it primarily as a cost-cutting tool. Griggs highlighted that the ongoing debate surrounding AI's potential to eliminate jobs overlooks a more significant economic opportunity—the ability of AI to enhance human capacity and drive growth.
Griggs articulated that AI generates value, which in turn fosters growth and creates demand for new types of work. He stated, “AI creates value. Value creates growth. And growth creates demand for new kinds of work.” His remarks come at a time when businesses are increasingly investing in AI technologies, with spending on AI infrastructure and business transformation becoming a substantial part of economic activity.
According to PwC’s 2026 AI Jobs Barometer, which analyzed one billion job advertisements globally, organizations that are more exposed to AI are experiencing headcount growth at twice the rate of those with minimal AI integration. The research indicates that AI's impact on jobs varies significantly; positions that benefit from enhanced human expertise, judgment, and creativity are growing faster and often commanding higher salaries. Conversely, roles where AI assumes more advanced tasks are seeing slower growth and narrower job scopes.
Griggs pointed out that businesses face a strategic choice regarding how to utilize the capacity released by AI. He noted that while it may be tempting for companies to focus on immediate cost savings and margin expansion, this approach could undermine long-term growth. “Treating AI solely as a cost opportunity risks mortgaging tomorrow to fund today,” he cautioned.
He acknowledged that some workforce reductions might be unavoidable as companies adapt to AI, but emphasized that an excessive focus on efficiency could hinder future growth prospects. Griggs advocated for a more balanced approach that includes reskilling employees as part of a broader strategy to redeploy workers into areas where AI creates new opportunities. He advised businesses to first identify new markets, products, and customers made viable by AI before determining necessary workforce changes.
The sequence of actions is crucial, according to Griggs. He urged businesses to define the opportunities presented by AI before making decisions regarding their workforce. This could involve redeploying existing staff, retraining employees, hiring new talent with necessary skills, or reducing roles where the gap between current and future requirements is too large.
Griggs cited software development as a prime example of how AI can transform work without necessarily eliminating jobs. AI coding tools can automate certain aspects of software development, allowing experienced developers to focus on mentoring colleagues, enhancing team dynamics, and improving overall quality. Despite the automation, the demand for software developers is projected to grow by 15 percent over the next decade, indicating that lower development costs could enable companies to take on more projects, launch additional products, and expand their customer base.
Similar opportunities are anticipated in various sectors, including personalized financial advice for previously underserved customers, legal and tax support for small businesses, and enhanced healthcare services. Griggs urged company leaders to view AI-generated efficiency not merely as a cost-saving measure but as a strategic capacity that can be redirected toward growth.
“If leaders can’t see their workforce clearly or move talent quickly, redeployment stays a slide in a deck,” he remarked. He asserted that companies that effectively align their AI strategies with workforce planning could gain a competitive edge over their rivals. “Human capacity isn’t what’s left after AI has done its work. It’s the raw material for the next wave of growth and performance,” he stated.
Griggs also highlighted the importance of communicating a clear growth strategy to employees, which can foster a more positive response to AI integration. He noted that employees are more likely to embrace AI when they can see opportunities for career development and their role in future growth.
In conclusion, Griggs emphasized that the cost of inaction is rising as AI technology continues to evolve. Companies that choose to reinvest their AI gains into growth initiatives rather than solely focusing on cost reduction could unlock new sources of value and establish competitive advantages that become increasingly challenging for competitors to replicate.