5 Key Takeaways
- Atlassian laid off over 150 employees due to AI integration, mainly affecting customer service roles.
- The layoffs were announced via a pre-recorded video message, drawing criticism for its impersonal approach.
- Impacted employees will receive six months of pay as severance.
- CEO Mike Cannon-Brookes sparked controversy by defending his $75 million private jet purchase amid the layoffs.
- Co-founder Scott Farquhar publicly supported AI adoption, reflecting a broader tech industry trend of job cuts for AI-driven efficiency.
Atlassian Lays Off 150 Employees Due to AI, CEO’s Private Jet Purchase Sparks Outrage
In a move that’s making waves in the tech world, software company Atlassian has laid off over 150 employees, blaming the rise of artificial intelligence (AI) for the job cuts. But it’s not just the layoffs that have people talking—the way the company handled the situation, and a controversial purchase by its CEO, have both added fuel to the fire.
AI Replaces Jobs, Employees Get the News by Video
Atlassian, known for popular workplace tools like Jira and Trello, announced that it was letting go of 150 staff members, mainly in customer service roles. The reason? The company says it’s integrating more AI into its products and services, which means some jobs are no longer needed.
What really upset many people, though, was how the layoffs were delivered. Instead of a personal meeting or even a live video call, Atlassian’s co-founder and CEO, Mike Cannon-Brookes, sent a pre-recorded video message to the affected employees. After watching the video, workers had to wait 15 minutes before getting an email confirming they’d lost their jobs. Soon after, they were locked out of their work laptops. Many criticized this approach as cold and impersonal.
To its credit, Atlassian has promised to give the laid-off employees six months of pay as severance.
CEO’s $75 Million Private Jet Raises Eyebrows
As if the layoffs weren’t enough, news broke that Cannon-Brookes, who is worth nearly $14 billion, recently bought a $75 million private jet. With so many people losing their jobs, this purchase didn’t sit well with the public. The CEO defended himself on LinkedIn, saying the jet was necessary for him to balance being a “present dad” with running a global business, and also cited personal security concerns. Still, many saw it as a bad look during a time of job cuts.
AI’s Growing Impact on Tech Jobs
Atlassian isn’t alone in turning to AI and cutting jobs. Other big tech companies like Microsoft, Intel, and Tata Consultancy Services (TCS) have also announced layoffs as they try to become more efficient and “future-ready.” Atlassian’s other co-founder, Scott Farquhar, even encouraged everyone to embrace AI, calling it essential for the future.
As AI continues to change the way companies operate, it’s clear that more jobs could be at risk—and that how companies handle these changes matters just as much as the changes themselves.
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