Shopify CEO's AI-First Hiring Policy Is Job Security's Ticking Clock

Forbes

08-04-2025

Shopify's CEO is demanding that managers show AI can't do the work before hiring a new employee.
It's a move that should set alarm bells ringing for workers across industries. Shopify CEO Tobi Lutke has implemented a hiring policy that foreshadows a fundamental shift in employment practices. Managers must now show why artificial intelligence cannot perform a job before being granted permission to hire human talent.
This seemingly innocent efficiency measure conceals a stark warning about the future of work—one that will likely affect marketers, executives, and frontline employees alike.
What makes Lutke's memo so chilling isn't just its implications for potential hires. The scary part is how quickly and naturally this thinking could extend to current employees. The logical next question isn't hard to imagine: "Why should we keep paying you when AI might do your job?"
This isn't some distant dystopian scenario. At Shopify, AI proficiency is already factored into performance reviews. Lutke says there's a "fundamental expectation" that employees incorporate AI into their daily work. Those who fail to embrace these tools are explicitly marked for underperformance, likely the first step toward eventual redundancy.
Marketing departments may face particular scrutiny given the rapid advances in AI-generated content, campaign optimization, and customer journey mapping. CMOs will soon need to justify not just campaign budgets but the human headcount maintaining them.
The economic logic behind this shift is undeniable. A year ago, consumer finance company Klarna eliminated the need for 700 call center agents. AI completes the tasks in less than 20% of the time humans required while maintaining comparable satisfaction scores. The firm predicted that not hiring those workers would drop an additional $40 million to their bottom line.
With economics this compelling, the corporate calculation becomes simple. Many corporate leaders still adhere to Milton Friedman's maxim that the primary purpose of a company is to maximize shareholder returns. Some firms still consider employees as important stakeholders in the business, not expendable assets. But, even they can be pressured to cut costs and reprioritize by outside forces like activist investors.
The pace of this transition is accelerating. In 2024, tech companies laid off over 152,000 employees. The 2025 tally is approaching 28,000. Shopify itself has shrunk its workforce from 10,000 to 8,100 over the past two years through multiple reduction rounds.
For those hoping to remain employed in an AI-first world, the strategy must be two-fold: make yourself irreplaceable through uniquely human capabilities while simultaneously becoming an AI power user.
The employees who survive won't be those who fight against AI but those who leverage it as a force multiplier. As Lutke observed, employees who embrace AI tackle "implausible tasks" and achieve "100X the work done" compared to traditional methods.
The most defensible positions will center on traits AI struggles to replicate: genuine empathy, creative vision, relationship-building, and ethical decision-making. Human marketers who thrive will be those who can craft authentic emotional connections and identify cultural nuances that AI still misses.
Shopify's hiring policy is the canary in the corporate coal mine. The fundamental question is shifting from "Can AI do this job?" to "Prove to me why AI can't." This reframing places the burden of proof on employees rather than technology.
The time to prepare isn't when your boss schedules the "AI justification" meeting—it's now. Document your uniquely human contributions. Master the AI tools in your field. Reposition yourself as an AI orchestrator rather than a task performer.
Here's the truth: Shopify's policy isn't radical—it's simply ahead of the curve. And, Lutke's statement puts in the open what other companies are doing with less fanfare. The day when every employee must justify their existence against AI alternatives is approaching faster than most realize. When that day comes, the unprepared will find themselves facing a ticking clock they didn't know was counting down.