HomeClickUp Mass Layoff Signals a Shift in the Future of Work
AI's most vocal proponents have long argued that the technology will bring about an era of unprecedented productivity gains, richly rewarding those who harness it while displacing those who do not.
Zeb Evans, CEO of collaboration software startup ClickUp, says this shift is imminent. Last Thursday, he announced on X that the company—valued at $4 billion in its last 2021 funding round—had laid off 22% of its workforce. He framed the reduction not as cost-cutting, but as an aggressive embrace of AI that will propel ClickUp to the next level.
"Most of the savings from this change will flow directly back to the people who remain. We’ll be introducing million-dollar salary bands. If you create outsized impact using AI, you’ll be paid outside traditional bands," Evans wrote.
According to a recent Fortune article, ClickUp has deployed roughly 3,000 internal AI agents to handle a wide range of complex tasks on behalf of its employees. Now, instead of performing the work themselves, staff members are expected to direct these agents and then review the output to ensure it meets company standards.
Evans's goal, as stated in his X post, is for AI to turbocharge ClickUp into a "100x organization."
ClickUp isn't alone in hoping that AI agents will deliver massive productivity gains.
In fact, a recent Gartner survey found that about 80% of companies using autonomous technology have cut jobs. However, the study also showed that these workforce reductions aren't necessarily translating into meaningful financial returns.
While Gartner's findings suggest some companies are using unproven AI as an excuse to downsize, ClickUp maintains it is not one of them.
Evans told TechCrunch via email that the startup is indeed seeing productivity gains from AI agents. ClickUp is not only measuring these efficiencies internally, but also appears to be preparing to incorporate them into an upcoming product for its customers.
"Instead of gamifying token cost, we gamify value created and time saved," Evans wrote.
In recent months, a growing number of companies have begun monitoring employee token consumption as a metric to see who is actually adopting AI tools. But critics argue that "tokenmaxxing"—as this practice is known—is a misguided metric because it simply racks up AI expenses.
"The people that automate their jobs with AI will always have a job," Evans claimed in his post. But if AI keeps taking over more tasks, ClickUp will eventually need fewer and fewer people, eliminating those who fail to automate their own functions well.
Tech circles have long speculated about this scenario.
One extreme example of a high-profile startup fully leveraging AI automation already exists. Polsia, a one-year-old startup that claims to handle all software operations for solopreneurs, is run by just one person: its founder and CEO, Ben Broca. That efficiency appears to be paying off: Polsia just raised $30 million at a $250 million valuation.
Related article
AI Layoff Wave Turns Into a Powder Keg
A peculiar contradiction is unfolding in the tech sector: corporations are reporting record-breaking profits and revenue while simultaneously shedding tens of thousands of jobs, with artificial intelligence cited as the primary justification. Accordi
iFLYTEK Unveils Spark X2.5 General Large Model
On September 1, iFlytek will open-source two edge-focused large language models, Xinghuo X2.5-4B and Xinghuo X2.5-1.7B, according to the latest official announcement. Both models natively support a context window of up to 1 million tokens. They deliv
Meta Removes AI Photo Editing Feature Following User Backlash
Meta, the social media giant, is once again embroiled in a public debate regarding the delicate balance between artificial intelligence and user privacy. According to TechCrunch, Meta’s Superintelligence Labs introduced a new AI image generator, Muse
Related Special Topic Recommendations
Animation Creation
AI Scene Animation Tools for Social Media Content
2026 Latest Best Top-rated AI Scene Animation Tools for Social Media Content are curated here by XIX.AI. These powerful game-changing tools offer real-world tests and detailed free vs paid comparison, helping creators boost productivity significantly. Explore now to unlock your AI edge.
9 tools
xix.ai
Video creation
AI Short-Form Video Hook Generators for Reels, Shorts, and Product Launch Campaigns
2026 Latest Best AI Short-Form Video Hook Generators for Reels Shorts and Product Launch Campaigns! XIX.AI curates top-rated powerful game-changing tools that deliver must-try results through real-world tests. This weekly updated page offers free vs paid comparison rankings to help you find the perfect solution for boosting content creativity and productivity. Explore now to Unlock your AI edge!
11 tools
xix.ai
writing
AI Article Outline Tools for Long Form Writing
2026 Latest Best Top-Rated AI Article Outline Tools for Long Form Writing! This curated collection features powerful, game-changing tools that deliver accurate, structured outlines with real-world tests to boost writing efficiency significantly. XIX.AI is part of this elite selection. Get a free vs paid comparison to help you choose the perfect tool. Explore now and Unlock your AI edge!
9 tools
xix.ai
chatbot
Best AI Roleplay Chat Apps for Language Practice, Interview Prep, and Daily Fluency
2026 Latest Best Top-rated AI Roleplay Chat Apps for Language Practice, Interview Prep, and Daily Fluency! XIX.AI curates a powerful game-changing collection that offers free vs paid comparison, real-world tests, and updated rankings weekly. These must-try tools help you boost writing skills, overcome fluency challenges, and improve communication efficiency across all daily scenarios. Explore now to discover your perfect tool for language growth!
10 tools
xix.ai
Music composition
AI Stem Separation Tools for Remix Production, Sampling Prep, and Karaoke Masters
2026 Latest Best Top-rated AI Stem Separation Tools Curated for Remix Production, Sampling Prep, and Karaoke Masters. These powerful game-changing tools offer real-world tests to deliver precise audio isolation, boosting productivity significantly. XIX.AI provides a weekly updated free vs paid comparison guide to help you find the must-try solution that suits your needs. Explore now to unlock your AI edge.
8 tools
xix.ai
Data Analysis
AI SQL Copilots for Revenue Dashboards, Funnel Analysis, and Product Metrics
2026 Latest Best AI SQL Copilots Ranked Top-Rated! XIX.AI curates a powerful game-changing collection for weekly updated real-world tests. These must-try tools help you generate accurate revenue dashboards, analyze sales funnels, and track product metrics swiftly, boosting productivity massively. Explore now to Discover your perfect tool for data-driven decision making! 238 characters
9 tools
xix.ai
Comments (0)
0/500
AI's most vocal proponents have long argued that the technology will bring about an era of unprecedented productivity gains, richly rewarding those who harness it while displacing those who do not.
Zeb Evans, CEO of collaboration software startup ClickUp, says this shift is imminent. Last Thursday, he announced on X that the company—valued at $4 billion in its last 2021 funding round—had laid off 22% of its workforce. He framed the reduction not as cost-cutting, but as an aggressive embrace of AI that will propel ClickUp to the next level.
"Most of the savings from this change will flow directly back to the people who remain. We’ll be introducing million-dollar salary bands. If you create outsized impact using AI, you’ll be paid outside traditional bands," Evans wrote.
According to a recent Fortune article, ClickUp has deployed roughly 3,000 internal AI agents to handle a wide range of complex tasks on behalf of its employees. Now, instead of performing the work themselves, staff members are expected to direct these agents and then review the output to ensure it meets company standards.
Evans's goal, as stated in his X post, is for AI to turbocharge ClickUp into a "100x organization."
ClickUp isn't alone in hoping that AI agents will deliver massive productivity gains.
In fact, a recent Gartner survey found that about 80% of companies using autonomous technology have cut jobs. However, the study also showed that these workforce reductions aren't necessarily translating into meaningful financial returns.
While Gartner's findings suggest some companies are using unproven AI as an excuse to downsize, ClickUp maintains it is not one of them.
Evans told TechCrunch via email that the startup is indeed seeing productivity gains from AI agents. ClickUp is not only measuring these efficiencies internally, but also appears to be preparing to incorporate them into an upcoming product for its customers.
"Instead of gamifying token cost, we gamify value created and time saved," Evans wrote.
In recent months, a growing number of companies have begun monitoring employee token consumption as a metric to see who is actually adopting AI tools. But critics argue that "tokenmaxxing"—as this practice is known—is a misguided metric because it simply racks up AI expenses.
"The people that automate their jobs with AI will always have a job," Evans claimed in his post. But if AI keeps taking over more tasks, ClickUp will eventually need fewer and fewer people, eliminating those who fail to automate their own functions well.
Tech circles have long speculated about this scenario.
One extreme example of a high-profile startup fully leveraging AI automation already exists. Polsia, a one-year-old startup that claims to handle all software operations for solopreneurs, is run by just one person: its founder and CEO, Ben Broca. That efficiency appears to be paying off: Polsia just raised $30 million at a $250 million valuation.
AI Layoff Wave Turns Into a Powder Keg
A peculiar contradiction is unfolding in the tech sector: corporations are reporting record-breaking profits and revenue while simultaneously shedding tens of thousands of jobs, with artificial intelligence cited as the primary justification. Accordi
iFLYTEK Unveils Spark X2.5 General Large Model
On September 1, iFlytek will open-source two edge-focused large language models, Xinghuo X2.5-4B and Xinghuo X2.5-1.7B, according to the latest official announcement. Both models natively support a context window of up to 1 million tokens. They deliv
Meta Removes AI Photo Editing Feature Following User Backlash
Meta, the social media giant, is once again embroiled in a public debate regarding the delicate balance between artificial intelligence and user privacy. According to TechCrunch, Meta’s Superintelligence Labs introduced a new AI image generator, Muse
2026 Latest Best Top-rated AI Scene Animation Tools for Social Media Content are curated here by XIX.AI. These powerful game-changing tools offer real-world tests and detailed free vs paid comparison, helping creators boost productivity significantly. Explore now to unlock your AI edge.
9 tools
xix.ai
2026 Latest Best AI Short-Form Video Hook Generators for Reels Shorts and Product Launch Campaigns! XIX.AI curates top-rated powerful game-changing tools that deliver must-try results through real-world tests. This weekly updated page offers free vs paid comparison rankings to help you find the perfect solution for boosting content creativity and productivity. Explore now to Unlock your AI edge!
11 tools
xix.ai
2026 Latest Best Top-Rated AI Article Outline Tools for Long Form Writing! This curated collection features powerful, game-changing tools that deliver accurate, structured outlines with real-world tests to boost writing efficiency significantly. XIX.AI is part of this elite selection. Get a free vs paid comparison to help you choose the perfect tool. Explore now and Unlock your AI edge!
9 tools
xix.ai
2026 Latest Best Top-rated AI Roleplay Chat Apps for Language Practice, Interview Prep, and Daily Fluency! XIX.AI curates a powerful game-changing collection that offers free vs paid comparison, real-world tests, and updated rankings weekly. These must-try tools help you boost writing skills, overcome fluency challenges, and improve communication efficiency across all daily scenarios. Explore now to discover your perfect tool for language growth!
10 tools
xix.ai
2026 Latest Best Top-rated AI Stem Separation Tools Curated for Remix Production, Sampling Prep, and Karaoke Masters. These powerful game-changing tools offer real-world tests to deliver precise audio isolation, boosting productivity significantly. XIX.AI provides a weekly updated free vs paid comparison guide to help you find the must-try solution that suits your needs. Explore now to unlock your AI edge.
8 tools
xix.ai
2026 Latest Best AI SQL Copilots Ranked Top-Rated! XIX.AI curates a powerful game-changing collection for weekly updated real-world tests. These must-try tools help you generate accurate revenue dashboards, analyze sales funnels, and track product metrics swiftly, boosting productivity massively. Explore now to Discover your perfect tool for data-driven decision making! 238 characters
9 tools
xix.ai
