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Australian union seeks talks with WiseTech over job cuts

An Australian trade union has called for an urgent meeting with WiseTech Global after the company announced plans to cut about 2,000 jobs over two years linked to AI restructuring.

Professionals Australia, representing tech and engineering workers, said WiseTech must consult staff and the union before major workplace changes.

The union requested the company provide written details on how AI will be deployed, its likely impact on jobs, and measures to avoid or reduce redundancies.

Sydney-based WiseTech, which makes shipping and logistics management software, said it plans to integrate AI into customer software and internal operations, affecting about 29% of its 7,000 employees across 40 countries.

Paul Inglis, Professionals Australia director, said this is a major workplace change requiring transparency on job cuts and genuine consideration of alternatives like redeployment and retraining.

🔗 Source: Reuters

🧠 Food for thought

Implications, context, and why it matters.

Behind the cuts with strong half-year results and a shift in software pricing

  • WiseTech tied job cuts to AI efficiency, even as half-year revenue jumped 76% to $672 million 1.
  • The company is moving from per-seat software licenses to transaction-based pricing, which WiseTech said about 95% of CargoWise customers had adopted 2.
  • WiseTech CEO said AI will upend firms that charge per user, so pricing will track value created through automation 2.
  • One analyst argued the AI story also helps reset costs, calling it a “justification layer for a cost structure reset” across the industry 2.

AI as a workforce strategy raises customer-continuity and cost-volatility questions

  • WiseTech plans to cut product & development plus customer service teams by up to 50% in headcount, including at e2open (a US logistics software company WiseTech has referenced in its restructuring plans), and said affected staff will not move into other WiseTech roles 2.
  • WiseTech also said 11 of its largest freight forwarder customers have under 20% of expected users live on CargoWise, which suggests some rollouts remain in progress while engineering and support shrink 2.
  • The shift also reshapes the software-as-a-service (SaaS) industry, since transaction-based pricing can make customer costs less predictable 2.
  • Because usage can spike with seasons or disruptions, this approach can produce uneven software bills as vendors rebuild pricing for an AI-driven market 2.

Recent WiseTech Global developments

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