AI’s Role in Layoffs: Heather Monahan Questions Short-Term Thinking

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Heather Monahan

LinkedIn Author

Keynote Speaker & Executive Coach | Helping Leaders Build Unshakable Confidence and Drive Measurable Revenue Results | Former CRO, Led a $25M Company to a $55M Exit | 2X Bestselling Author | TED Speaker | Board Director

In a recent LinkedIn post, Heather Monahan discusses the potential long-term consequences of companies using Artificial Intelligence (AI) to drive layoffs, questioning the strategic value of such decisions.

Monahan begins by highlighting a statistic from Gartner, stating that by 2029, a significant portion of employees laid off due to AI implementation will need to be rehired, likely at a higher cost. She expresses concern over the apparent paradox of this trend, suggesting it points to a flawed approach by some organizations.

“Companies will fire their people. Lose the institutional knowledge inside them. Break the trust it took years to build. Then pay more to rebuild.”

As Monahan argues, this cycle represents short-term thinking rather than genuine transformation. Drawing on her extensive experience leading revenue organizations, she contends that true breakthroughs have historically stemmed not from removing human capital, but from strategically placing the right people in the right roles, enhancing their capabilities through tools and training.

The Human Element in Business Strategy

Monahan emphasizes the irreplaceable nature of human interaction and leadership in business success. She contrasts the functional capabilities of AI with the nuanced skills that human employees bring to the workplace.

“AI can generate the report. It cannot walk into a tense room and rebuild trust. AI can analyze the customer. It cannot make that customer feel seen.”

According to Monahan, AI can process data and provide recommendations, but it lacks the emotional intelligence and interpersonal skills essential for building relationships, fostering trust, and navigating complex human dynamics. She posits that these are critical components that AI cannot replicate.

Redefining Success in the Age of AI

Monahan challenges businesses to shift their perspective on AI integration. Instead of focusing on the number of roles AI can potentially replace, she urges leaders to consider how AI can augment human capabilities and increase employee value.

Elevating People Through Technology

In Monahan’s view, the companies poised to excel in the coming era will be those that ask:

  • “how much more valuable can our people become because of it?”

She asserts that AI does not diminish the need for effective leadership; rather, it highlights existing deficiencies in leadership when implemented without a human-centric strategy. Monahan is actively discussing these points in boardrooms and on public stages, advocating for a more thoughtful approach to AI adoption.

“AI isn’t eliminating the need for leadership. It’s exposing where leadership was already missing.”

Monahan concludes by posing a critical question to businesses: What unique human-driven functions exist within your company today that AI cannot replicate, and are these vital elements being protected or inadvertently dismantled?

📝 About This Content

This article is based on insights shared by Heather Monahan on LinkedIn.

📅 Originally posted on September 10, 2026 | View original post on LinkedIn →