Salesforce AI cuts IT jobs but boosts sales roles

Salesforce announced plans to cut 1,000 jobs while simultaneously hiring in new areas as the company repositions itself around artificial intelligence products and services.

Key restructuring details: The workforce changes reflect Salesforce’s strategic pivot toward AI-driven solutions and operational efficiency.

• The company will eliminate approximately 1,000 positions, though affected employees can apply for other roles within the organization
• Salesforce’s employee count had previously grown from under 50,000 in early 2020 to over 79,000 by early 2023
• CEO Marc Benioff acknowledged the company had over-hired during the pandemic period

Strategic focus on AI development: Salesforce is centering its future growth around Agentforce, a new platform for developing autonomous AI agents launched in fall 2024.

• The company will cease hiring software developers in fiscal year 2025, citing AI-driven productivity gains of over 30% in development teams
• Support staff reductions are planned following the implementation of AI-powered customer service solutions
• Additional sales personnel will be hired to educate customers about new AI capabilities

Industry-wide transformation: Similar workforce restructuring is occurring across major enterprise software companies as they adapt to AI integration.

• SAP announced plans to restructure 8,000-10,000 positions while focusing on AI and strategic growth areas
• Unlike Salesforce, SAP is reducing sales and marketing staff while expanding other departments
• These shifts indicate a broader industry trend of realigning workforce composition around AI capabilities

Looking ahead: The restructuring at Salesforce and SAP signals a fundamental shift in how enterprise software companies are organizing their workforces, with traditional IT roles being reimagined through the lens of AI integration and automation while creating new opportunities in AI-focused sales and development positions.