Klarna is set to combine artificial intelligence with human customer service representatives, according to CEO Sebastian Siemiatkowski. speaking at London SXSW, Siemiatkowski addressed earlier reports that Klarna had reduced its workforce by utilizing AI to perform tasks equivalent to 700 employees. he stated,”My wife taught me something. Two things can be true at the same time.”

Siemiatkowski acknowledged that Klarna had aimed to halt human hiring and implemented AI agents,which led to decreased customer support costs and increased revenue per employee. The company’s workforce decreased from 5,500 to approximately 3,000 in two years. He added that the savings from reduced salary expenses would be reinvested into employee compensation.

Human Touch for VIP Clients

Despite the focus on AI,Siemiatkowski emphasized the importance of human interaction. “We think offering human customer service is always going to be a VIP thing,” he said, drawing a parallel to the value placed on handmade clothing. “So we think that two things can be done at the same time. We can use AI to automatically take away boring jobs, things that are manual work, but we are also going to promise our customers to have a human connection.”

“We think offering human customer service is always going to be a VIP thing.”

Klarna’s Evolving Strategy

This announcement marks a shift in Klarna’s strategy, highlighting the company’s recognition of the value of human interaction alongside AI-driven efficiency.