WiseTech Global to Cut 2,000 Jobs, Citing AI
Australian logistics software provider WiseTech Global announced it will cut 2,000 jobs, representing about a third of its global workforce. The company cited rapid advances in AI automation as the primary driver for eliminating developer and customer service roles. The move is part of a strategy to streamline operations and build new AI-powered products while still hiring for high-value engineering roles.
- The job cuts coincide with the integration of WiseTech's largest-ever acquisition, the US-based firm e2open, which was purchased for $2.1 billion in August 2025. This single deal was larger than the company's previous 55 acquisitions combined. - In its half-year results reported on February 25, 2026, the company announced a 76% surge in total revenue to US$672 million, but a 36% drop in statutory net profit to US$68.1 million, citing costs related to the e2open consolidation. - The company's stock has declined significantly over the past year, falling over 54% in the last 12 months, though it saw a 7% jump after the job cut announcement. - This strategic shift comes after founder Richard White, who led the company for 30 years, stepped down as CEO in late 2024, returning in February 2025 as Executive Chair & Chief Innovation Officer. - New CEO Zubin Appoo has signaled a fundamental change in the company's approach, stating, "the era of manually writing code as the core act of engineering is over." - The workforce reduction will take place during fiscal years 2026 and 2027, with the company noting that some departments, including product, development, and customer service, could see headcount reduced by up to 50%. - WiseTech stated that affected employees will not be moved to other roles within the company because their positions will be eliminated entirely as part of the AI-driven efficiency program.
