WASHINGTON — Kroger announced plans to eliminate 3,000 positions over the next three years as part of an initiative to integrate artificial intelligence into its business operations.
The grocery corporation is the parent company of Fred Meyer and QFC.
Kroger operates more than 120 locations across Washington state, though whether local positions will be eliminated remains uncertain.
The cuts follow recent staff reductions tied to artificial intelligence at other regional firms, including Microsoft and Amazon.
In a staff memo distributed to employees, Kroger’s chief executive officer addressed the organizational shift.
“The way work gets done is changing across every industry; we must adapt and take advantage of technology,” the CEO wrote. “We need to adopt capabilities, reduce duplicative work and look closely at where work is best fit to be done.”
The announcement comes alongside economic concerns among local residents.
A recent poll of Seattle residents conducted by the local chamber of commerce found that 12% of respondents identify the economy and employment as the city’s primary issue, while 68% expressed the belief that Seattle’s economy is deteriorating.
Brenda Siri, president and chief executive officer of Corporate Connections, noted that artificial intelligence is shifting requirements for human labor rather than simply removing positions.
“Employers are really looking much more closely at the value that people can add beyond tasks that technology can do,” Siri said. “So they do still want human beings, they want people that can critically think, have judgment, be leaders, build relationships, but there are gonna be some roles that AI is probably going to eliminate.”
Siri added that workers should recognize the growing role of technology in their fields.
“You need to understand how AI can make you faster and better,” Siri said, adding that employees proficient in artificial intelligence will present more of a threat to peers in similar roles than the technology itself.
Joseph Phillips, an economics professor at Seattle University, offered another perspective, suggesting that a wait-and-see approach is necessary when assessing the technology’s market impact.
“It’s just too early to say something like AI is going to come in and wipe out a bunch of jobs,” Phillips said. “Obviously, there are individuals getting caught up in a little bit of this, but in the big picture, it’s not really having a major impact yet.”
According to Reuters, specific details on which individuals will be affected by the workforce reductions will be provided in the coming months.