2 days ago
ASX's largest tech company WiseTech warns of redundancies amid increased AI use
The ASX's largest tech company will begin a series of redundancies as it increases the use of artificial intelligence in the workplace.
Australian logistics company WiseTech on Tuesday told staff it was looking to restructure its operations.
The message came from WiseTech's chief of staff Zubin Appoo who informed the 3500 employees the decision followed a 'deep assessment' of the company.
'The result of the assessment means we will conduct a phased restructure program across all functions of the business and all regions,' Mr Appoo's email read, per The Australian Financial Review.
'There will likely be several phases across the business, and we will communicate these as soon as possible.'
The restructure will first focus on the product development and customer service divisions alongside the WiseTech Academy – which does training for the company's major product CargoWise.
This is the first step in the company's phased restructure, which Mr Appoo acknowledged can 'create uncertainty' for staffers.
'Our aim is to take the time to ensure that this difficult process is done with as much empathy, respect, dignity and ongoing support for our team members as possible,' Mr Appoo said.
The shift aims to 'amplify and extend' WiseTech's use of AI tools to bolster productivity particularly in software development, according to Mr Appoo.
A WiseTech spokesperson confirmed the upcoming changes in a statement to
'We have undertaken an assessment of our workforce to ensure that we have the right operating model, right mix of roles and right skills in place to deliver on our medium and long-term growth priorities," the spokesperson said.
"Similar to other technology companies, this includes a focus on maximizing efficiency via automation and particularly the use of AI.
'As a result, some roles will be made redundant."
WiseTech's shift comes amid a tumultuous year for the major company involving a series of scandals surrounding its founder Richard White.
Mr White in October resigned as CEO from his company after 30 years to take up a 'full-time, long-term consulting role' where he would continue to earn his annual $1m salary he made as chief executive.
However, this never happened - and he returned as executive chairman in February while four independent directors resigned over 'intractable differences' with Mr White's role at the company.
That followed reports in Nine-owned newspapers of the WiseTech founder purchasing a $7m house for a female employee he was in a relationship with, paying $2m to another ex-lover and an accusation that he allegedly intimidated a former director.
This was sparked by a trial between himself and Linda Rogan, an alleged former lover of Mr White, over $90,000 worth of luxury furniture for a lavish home in Sydney's eastern suburbs the tech billionaire had purchased for her.
Three more women came forward with allegations of inappropriate behaviour from Mr White in February, including a Brazilian woman on a visa who claimed the tech billionaire provided help in exchange for a sexual relationship.
