Kmart cuts technology roles in AI-led restructure
The Wesfarmers-owned retailer is removing IT and technology roles while expanding AI-driven operations.
Kmart is cutting IT and technology roles in a September 2026 restructure intended to support AI-driven operations and help keep prices low, according to news.com.au. Store roles are not affected.
The changes follow reported results from Kmart’s AI recruitment chatbot. YourLifeChoices reported that the tool delivered $6 million in annual savings and reduced hiring time from 44 days to 11.8 days.
The move illustrates how AI-related restructuring can affect the corporate and technology workforce even when customer-facing operations remain unchanged. Unlike some larger announced cuts, the reports do not specify how many Kmart technology positions are being removed.
For employers planning a similar restructure, identify which work has genuinely reduced or disappeared before selecting roles. Consult affected employees before decisions are final, test suitable redeployment options, and distinguish a genuine redundancy from replacing a person with a tool without first assessing whether the role’s work still exists.
- Kmart is removing IT and technology roles in a September 2026 restructure.
- The restructure supports AI-driven operations and aims to help keep prices low.
- Store roles are unaffected.
- Kmart’s AI recruitment chatbot reportedly generated $6 million in annual savings and reduced hiring time from 44 to 11.8 days.
For employers: Map the work changed by AI, then consult before deciding whether roles are genuinely redundant and assess redeployment into remaining or newly created work.
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.