A global research from Snowflake, done together with Omdia by Informa TechTarget, reveals that AI is responsible for creating more jobs than it is destroying as companies are rapidly increasing the use of AI in their enterprises. The research, which is called “The ROI of Gen AI and Agents, ” gathered responses from over 2,000 business and technology leaders worldwide and revealed that 77% of companies experience workforce increases because of AI adoption, whereas only 46% see job cuts.
This new evidence goes against the fear that automation will cause mass unemployment. Rather, the study shows that the effects of AI on employee numbers are not only complicated but can even be beneficial when corporations use AI in the execution of their main activities. 69% of enterprises which recorded both worker increase and decrease at the same time, think the overall effect on the workforce has been positive, highlighting that AI is not just eliminating jobs but changing them too.
According to the report, AI adoption is already delivering measurable business value. Organizations surveyed reported generating approximately $1.49 in value for every dollar invested in AI, and early adopters are increasingly allocating a larger portion of their technology budgets to AI initiatives. In fact, many companies expect to dedicate around 22% of their technology budgets to AI in the coming year as it becomes embedded in everyday operations.
The workforce impact is particularly strong within technical teams. Roles in IT operations, cybersecurity, and software development are seeing the most significant job growth, as AI tools help employees work more efficiently while also creating demand for new skills and expertise. However, the same functions are also experiencing some workforce reductions as automation takes over repetitive tasks—highlighting how AI is restructuring roles rather than simply expanding or shrinking them.
Implications for the HR Industry
These findings present a remarkable change of mindset in the HR sector in terms of workforce strategy. Instead of considering the possibility of automation involving layoffs as the only option, HR chiefs are increasingly devising strategies for workforce transformation and skills training. As companies gradually implement AI in the way they operate, they will have to equip their employees with the necessary technical and analytical skills to operate intelligent systems together.
This will position HR staff as primary players in developing reskilling and upskilling programs that readies employees for newly created jobs in areas like AI engineering, data analysis, cybersecurity, and AI governance. Companies that put their money in long-term learning interventions are more likely to realize the rewards of AI integration since their personnel can move to the higher-value positions that use AI while at the same time not directly competing with it.
Furthermore, HR units will have to alter the ways they model workforce planning. While traditional job descriptions have been static, an increasing number of businesses are moving to skills-based workforce strategies where the employees have a set of versatile skills that enable them to perform different roles as the technology changes.
Also Read: Persona Introduces Candidate Verification Tool to Tackle Rising Hiring Fraud in the AI Era
Broader Business Impact
The study further draws attention to the increasing strategic reliance on AI of all types of businesses. Enterprises that can effectively integrate AI in their operations are experiencing greater productivity, efficiency, and enhanced decision-making. Consequently, this has resulted in the ramping up of employment in support roles of AI implementation such as data infrastructure, machine learning engineering, and digital transformation leadership.
Nevertheless, the report also pinpoints the issues that organizations encounter when leveraging AI. Almost all organizations find it difficult to scale AI, and among the factors contributing to these challenges are data quality, data systems, and skill sets. This demonstrates that the success of AI depends not only on its being used as a tool for operations.
The gist for all businesses is as follows: AI has become a regular tool for operations rather than a trial one. Those organizations that prepare their data infrastructure, skill sets, and data governance for the AI implementation will experience long-term productivity gains in terms of innovation and competitiveness.
A New Phase in the Future of Work
Snowflakes study illustrates the major changes that are happening all over the world in terms of labor market. On one hand it is true that AI is automating some tasks, on the other hand it is also creating new jobs and changing the way work is done. Organizations that concentrate on data readiness, fair use of AI, and employees skill development will most likely be the ones to benefit from the use of AI. For HR leaders and business executives, the research has an important message in common: Finally, it is not simply a matter of replacing humans with machines.
Rather, it will be about: Leveraging human skills alongside intelligent technologies; Discovering new areas of productivity and innovation.
