Signal File: the hidden cost of automation
From the effort of managing machines to a growing skills gap in smart buildings, this week’s signals reveal the human cost behind workplace transformation
The promise of technology at work has always been efficiency. This week’s signals suggest that the promise is proving harder to deliver than expected. Organisations are rehiring people they had previously replaced, workers are absorbing the emotional toll of uncertainty and the effort required to oversee new tools is rising. Meanwhile, the buildings designed to support smarter working are struggling to find the people who can run them.
These developments suggest that technology is not removing the need for human capability, but simply relocating it.
The AI layoff boomerang
New research from SHL finds that nearly one in five workers laid off due to AI have since been asked to return, suggesting some organisations are reassessing whether automation has delivered the benefits they expected. The survey of more than 1,000 workers each in the US and UK shows returning employees are now setting firmer terms, with many seeking better pay, greater job security and 40% wanting full transparency about how AI would be used in their roles.
In action: Organisations may need to measure what automation genuinely delivers before cutting roles, and be open with employees about how AI will shape their work.
AI’s quiet toll on wellbeing
A new survey from The Sylvia Brafman Mental Health Centre finds that 49% of US workers say concerns about AI have negatively affected their mental health or wellbeing. The impact is sharpest among younger employees, with 71% of Gen Z respondents reporting an effect compared with 28% of baby boomers. Nearly two-thirds of workers say they have taken steps over the past year to prove their value or avoid appearing replaceable, from working beyond scheduled hours to taking on extra responsibilities without additional pay. The pressure of AI is being felt long before any role is actually automated.
In action: Treat AI adoption as a wellbeing issue. Clear communication, practical training and mental health support may prove as important to successful adoption as the tools themselves.
Managing the machine
Most US workers with experience training a new employee believe getting good work from AI takes just as much effort, according to an October survey from Founder Reports. The findings arrive as many businesses turn to AI for tasks traditionally handled by entry-level staff. Rather than removing work, AI appears to be creating a new layer of it, as employees spend time prompting, reviewing and correcting outputs.
In action: Organisations will need to account for the time spent managing AI, and protect the junior roles where critical judgement is learned.
Canva redraws its blueprint
Design platform Canva has announced it will cut 1,271 jobs, around 22% of its workforce, as part of a major organisational restructuring. The company pointed to slower growth and the rising cost of integrating AI as key factors behind the decision. Beyond job losses, the changes will reshape team structures and locations, with some employees asked to relocate to centralised hubs and others facing changes to their existing roles.
In action: As restructuring accelerates, organisations will need to give remaining employees clarity on roles, skills and where work will happen.
The skills gap behind smart buildings
The Building Controls Industry Association has warned that the UK lacks the people needed to run increasingly connected buildings. According to the Construction Industry Training Board, the UK construction industry will need an average of 41,200 extra workers a year between 2026 and 2030. The challenge is not only one of numbers, but of skills, as engineers are increasingly expected to interpret building data, communicate with clients and protect systems from cyber threats. The findings suggest the performance of the smart workplace depends as much on human capability as on the technology installed.
In action: Invest in the people behind the building. As workplaces become more connected, organisations will need facilities teams with a blend of technical, data and communication skills.
