TikTok, a popular social media platform owned by ByteDance, has announced significant layoffs across its global workforce, including a substantial number in Malaysia. This move is part of the company’s strategy to increase its reliance on artificial intelligence (AI) for content moderation.
Initial reports indicated that over 700 jobs were cut in Malaysia alone, but TikTok later clarified that the number was closer to 500. Most of the affected employees were involved in content moderation operations.
In response to inquiries, TikTok confirmed the layoffs and explained that they were part of an effort to enhance its content moderation capabilities. The company currently uses a combination of automated systems and human moderators to review content.
“We’re making these changes to strengthen our global operating model for content moderation,” a TikTok spokesperson said. The company plans to invest $2 billion in trust and safety this year and aims to increase the efficiency of its automated content removal systems.
While TikTok didn’t disclose the exact number of layoffs globally, ByteDance, its parent company, employs over 110,000 people worldwide. Sources suggest that further layoffs may occur as the company consolidates its regional operations.
TikTok’s layoffs have highlighted concerns about the potential impact of AI on global employment. The Managing Director of the International Monetary Fund (IMF), Kristalina Georgieva, has warned that AI could affect almost 40% of jobs worldwide, replacing some and complementing others.
A report from Goldman Sachs estimates that AI could replace 300 million jobs globally, with significant impacts on jobs in the US and Europe. OpenAI and the McKinsey Global Institute also predict that AI will impact half of the job tasks for 20% of workers.