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Large Language ModelsTechCrunch AIPublished: May 26, 2026, 04:00 JST

ClickUp laid off 22% of its workforce while introducing roughly 3,000 internal AI agents, framing the reduction as an embrace of AI rather than cost-cutting.

ClickUp laid off 22% of its workforce while introducing roughly 3,000 internal AI agents, framing the reduction as an embrace of AI rather than cost-cutting.

3 Key Points

  1. ClickUp CEO Zeb Evans announced the layoff of 22% of the company's workforce last Thursday. Evans stated that most savings from this change will flow back to remaining employees through million-dollar salary bands for those who create outsized impact using AI.

  2. ClickUp recently introduced roughly 3,000 internal AI agents to handle complex tasks on behalf of employees, who now direct these agents and review their output instead of performing the work themselves. Evans aims to turbocharge ClickUp into a '100x org' through AI.

  3. According to a recent Gartner survey, about 80% of companies using autonomous tech have cut jobs, though the study found that workforce reductions aren't necessarily translating into meaningful financial returns. Evans told TechCrunch that ClickUp is measuring productivity gains from AI agents internally and plans to include them in a forthcoming product for customers.

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