Workday CEO Wonders Who to Replace with AI Before Deciding to Lay Off 400 Humans
KEY POINTS
- •CEO Anil Bhusri emphasized AI's role as a growth catalyst during Workday's February 2026 earnings call.
- •Shares fell roughly 10% after the company forecasted slower subscription revenue growth despite recent revenue gains.
- •Workday laid off about 400 employees earlier this month as part of resource realignment and leadership changes.
In a move tech lovers call 'innovative' and employees call 'uh-oh,' Workday's CEO Anil Bhusri—reinstalled for the third CEO sequel—serenaded investors on Feb 2026 about how AI will someday replace human labor and then figure out what to do with displaced humans like they're awkward party guests. Despite growing quarterly revenue till January end, shares plunged ~10% after Workday forecasted slower subscription growth and confessed their shiny AI tools won't rake in cash until later this year. Meanwhile, 400 employees yanked from the payroll earlier this month felt the AI future arriving a lot faster. Bhusri insists they're not firing people to replace them with robots, more like gradual 'industry realignment.' In case you wondered, the software sector got so spooked by AI it tumbled into a bear market, dragging along friends like LegalZoom and Okta—fun times in tech land!
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Workday's CEO is basically saying: 'We're bot-firing humans, or well… thinking about it. Maybe later. For now, enjoy your 400 layoffs.' AI's growth catalyst or just a polite way to say 'you’re extinct'?
Putting 'agentic models' on stage while quietly 'realigning' 400 human resources to unemployment. Classic Workday multitasking!
AI might replace human labor 'later this year,' but layoffs kicked off early February like they were in a hurry.
Source: Businessinsider | Published: 2/25/2026 | Author: Sarah E. Needleman
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