Many companies are experimenting with AI, some integrating AI tools to create greater efficiency for the existing workforce, but one company in India took a bold step, firing 90% of its customer support team with AI chatbots.
One year into the experimentation, here’s what happened and why it is fueling a pivotal debate over the future of work at the dawn of AI.
When Dukaan’s CEO, Suumit Shah, decided to carry on with the layoffs, it was called a radical gamble, and the move not only shook up his company but also raised the question of the future of human labour alongside machines.
The experiment is sparking debates on the future of work, highlighting efficiency gains, reduced errors, and freeing humans for creativity and all this with fewer humans around.
The firing of the workers also sparked heated ethical debates about corporate social responsibility and the obligations businesses owe to their employees.
It must be said that few companies have been as bold and as controversial as Dukaan. When it decided to fire the employees, the Bangalore-based startup reportedly cited them as “overqualified” and “fussy”.
However, Shah has described the trial as overwhelmingly positive since it delivered the results that were probably expected by the company. According to him, this decision has led to a significant reduction in query resolution time and customer support costs by approximately 85%.
Chatbots have outperformed expectations across several key indicators. What used to take about two minutes for a human operator is now almost instantaneous when handled by artificial intelligence.
The average time needed to fully resolve a customer support query has dropped from over two hours to just a few minutes and has translated into higher customer satisfaction as well.
This could lead to a revolution in some sectors, like online retail, where, in theory, automation is ideal.
While the company claims faster problem‑solving, some observers feel the change was too sudden.
Dukaan’s story shows both the promise and the worry of automation — efficiency gains, but also fears of humans being left behind.
This sweeping change is aimed at driving down operational costs, and so far, it has improved customer service quality.
Does this mean it is the end of the human touch in customer support?
He replaced 90% of his staff with AI: what happened one year later
