Denver – – September 29, 2026 -- Executives targeting AI-driven headcount reduction are nearly half as likely to fund the upskilling needed to realize AI efficiency gains, according to new research from Businessolver released as part of its 11th annual State of Workplace Empathy study.
Cost-cutting executives skip the training investment that enables AI payoff
Among the 27% of C-suite leaders who name cost savings through headcount reduction as a top AI investment goal, just 18% also prioritize AI upskilling, compared with 35% of CXOs who do not pursue headcount reduction. The gap widens on predictive analytics investment, where only 21% of cost-cutting leaders prioritize it versus 44% of their peers.
"AI does not create value on its own. People create value when they're enabled with the right set of skills and confidence," said Sony SungChu, Chief AI Officer at Businessolver. "If leaders reduce capacity without building capability, they could risk undermining the very productivity gains they're chasing."
CFOs and technology chiefs diverge sharply on AI risk perception
The survey of 300 C-suite leaders and 1,000 employees found 88% of CIOs and CTOs worry technology will outpace internal systems or workforce skills, compared with 63% of CFOs — a 25-point gap between the executives closest to AI implementation and their finance counterparts.
Financially strong firms show double the layoff rate alongside more hiring
CXOs reporting significant financial growth over the past year report layoffs at double the rate of other executives (23% vs. 11%), while also increasing recruiting (37% vs. 29%) and cutting benefits investment (48% vs. 61%). Businessolver characterizes the pattern as targeted workforce redesign rather than straightforward downsizing.
Employees report being left to navigate AI adoption alone
While nine in 10 CXOs say employees are excited about AI, 39% of employees worry about their future, 31% fear falling behind, and 49% say they have been left to figure out AI on their own. CXOs prioritizing AI-driven headcount reduction are also more likely to view organizational empathy as an obstacle, with 30% saying it "gets in the way" of their personal business goals, compared with 19% of other CXOs.
"AI will change jobs and economic pressure will force hard decisions," said Jon Shanahan, President and CEO of Businessolver. "These are challenges but also opportunities for companies to demonstrate empathy in the face of a generational workplace shift, while creating stronger, more resilient companies — not just more efficient ones."