Kmart cuts tech roles as AI savings reach $6m
Kmart removed technology roles in a September restructure supporting AI-driven operations after reporting $6 million in AI savings.
Kmart has cut technology roles in a September 2026 restructure intended to support AI-driven operations and help keep prices low, according to news.com.au.
The changes followed Kmart reporting $6 million in AI savings, including faster hiring. The reported reductions affect IT and technology staff; the findings do not specify how many positions were removed.
The move adds retail technology roles to the Australian job cuts linked to AI, alongside larger restructures reported in banking and software. Treasury reporting cited in the findings says broad employment effects from AI remain limited so far.
For employers, the practical lesson is to separate the business case for AI from the redundancy decision. Document which work has genuinely changed, consult affected employees before deciding, and assess redeployment into remaining technology or AI-enabled roles before terminating employment. Any resulting redundancy must be genuine and comply with applicable consultation requirements.
- Kmart removed IT and technology roles in a September 2026 restructure.
- The restructure supports AI-driven operations and a low-price strategy.
- Kmart had reported $6 million in AI savings, including faster hiring.
- The number of positions affected was not specified in the findings.
For employers: Document the changed work and consult before deciding; test redeployment into remaining technology or AI-enabled roles, and ensure any termination follows genuine-redundancy requirements.
Sources: Kmart axes tech staff in company restructure amid push into artificial intelligence · Kmart’s $6m AI win comes with a surprising change for staff
General information for employers, not legal advice. Reporting summarised from the linked sources; confirm details with the primary source.