Last Updated:May 16, 2025, 12:43 IST
Klarna had stopped hiring new people and replaced them with AI, but now, the company has realised that AI alone is not enough.
The CEO believes that having real people is very important for the company’s image. (Photo Credits: klarna.com)
Artificial intelligence is often seen as the future of work, but companies using it are discovering that it’s not always smooth sailing. Klarna, the Swedish fintech company, had aimed to lead the AI revolution by halting new hiring and replacing many roles with AI tools. However, the company now admits that relying solely on AI isn’t enough. Klarna’s CEO, Sebastian Siemiatkowski, says it’s crucial to keep real people in the loop, especially when it comes to how customers perceive the brand. He believes that customers should always have the option to speak to a human if they prefer.
According to Bloomberg, Klarna is testing a new way of hiring where people can work remotely, similar to how drivers work with Uber. Siemiatkowski shared that they’re testing this new method at their Stockholm, Sweden office. Right now, only two people are part of the test, but the company hopes to grow this setup over time. The idea is to slowly move away from outsourcing customer service and give opportunities to people like students or those living in smaller towns. The co-founder also mentioned that many Klarna users are loyal to the brand and might enjoy working for the company.
Sebastian Siemiatkowski said, “From a brand perspective, a company perspective. I just think it’s so critical that you are clear to your customer that there will always be a human if you want. As cost unfortunately seems to have been a too predominant evaluation factor when organising this, what you end up having is lower quality. Really investing in the quality of the human support is the way of the future for us.”
Before changing his views on using too much AI, the Klarna founder had told CNBC that the company had reduced its staff from around 5000 to nearly 3000 people. He pointed out that this drop in numbers could be seen on LinkedIn. However, he also explained that not all of the staff cuts were because of AI. A big reason was also people leaving the company on their own. He said they had told employees that the company planned to get smaller and would stop hiring new people. Since then, close to 15 to 20 per cent of workers have left, and the company has naturally become smaller without terminating anyone.
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