AI is prompting predictions that entire job categories could disappear, including claims that work may become optional within a decade. Costco’s CEO rejects that framing, saying employees have not been displaced because the business is growing faster. Tasks previously handled by employees have shifted them into more forward-thinking roles. Costco still uses AI to streamline operations across pharmacy, gas stations, accounting, and IT, but the technology is intended to support employees rather than remove them. The company also emphasizes that skilled buyers should retain control over item evaluations, with AI used to improve the business. Costco’s financial performance reflects this approach, with shares up and revenue exceeding $250 billion in 2025.
"“We've not displaced people because the business is growing at a faster rate,” Vachris said at The Economic Club of Chicago earlier this month. “Those employees who were doing those tasks before have now elevated up to more of a forward-thinking role.”"
"“I don't see AI making choices on items for Costco,” he added in the discussion, moderated by United Airlines President Brett Hart. “I don't know that we'll ever take that out of the hands of a skilled buyer. AI won't be doing evaluations with our employees, but there is a great place for developing AI systems, and it's going to make us a better company.”"
"Costco's success is tied to its continued focus on signature products and human presence at checkout, alongside technology use. The retailer employs more than 341,000 people globally and has used AI to streamline operations across parts of the business, from pharmacy and gas stations to accounting and IT."
Read at Fortune
Unable to calculate read time
Collection
[
|
...
]