Philenews

AI as a Cost-Cutting Tool: Cypriot CEOs Foresee Workforce Reductions

Published March 22, 2026, 17:16
AI as a Cost-Cutting Tool: Cypriot CEOs Foresee Workforce Reductions

A recent PwC survey in Cyprus reveals that CEOs view artificial intelligence (AI) not only as a modernization tool but also as a means of cost reduction. 22% of companies have already seen cost reductions, while 32% predict that lower-level jobs will be the most affected over the next three years. The survey suggests that the restructuring caused by AI will not be across-the-board, but will primarily target vulnerable employees. At the same time, senior and middle management positions appear to be more protected. The discussion surrounding AI focuses on innovation and productivity, but many are concerned that it will lead to a redistribution of jobs and a need to attract new talent after the removal of existing staff.