Australia has just witnessed the biggest wave of job cuts in recent history, and it’s no coincidence that AI is at the centre of it. This isn’t a warning about the future either: It’s happening right now.
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CSL has announced 3,000 job cuts over the next two years, while Westpac is axing 1,500 positions under the glossy label of “simplification.” Commonwealth Bank has quietly swapped 45 call centre roles for AI chatbots, and Telstra is pushing ahead with another 550 redundancies as automation takes hold.
The corporate spin calls it “restructuring.” Let’s call it what it really is: AI is replacing people.
Now here’s the part that should shock you. In July, Australia’s official unemployment rate fell from 4.3 per cent to 4.2 per cent. Sounds like good news, right?
Wrong. That dip was almost entirely driven by government hiring in the public sector. Strip that out and the truth is brutal: private companies aren’t hiring, they’re firing. The headline numbers are hiding the real story.
This is why AI is different from every so-called “efficiency drive” we’ve seen before. This isn’t just trimming costs or outsourcing work. Once an algorithm replaces you, that job is gone forever. No rehiring, no cycle back, it’s just gone.
For everyday Australians, the message is chillingly clear: if your industry is in AI’s sights, your pay cheque could vanish almost overnight.
So, what can you do? Well, the answer isn’t waiting for the government, your employer, or the union to save you. The answer is instead building financial independence because money doesn’t fire you.
A smart dividend portfolio can provide income even if your job evaporates. Short-term trading strategies let you profit from the volatility AI is unleashing on markets. Growth portfolios create long-term wealth that doesn’t depend on whether your boss thinks you’re expendable.
History proves this. The stock market has survived two world wars, a depression, financial crises, and countless recessions. It’s bigger than ever. It won’t downsize you, it won’t restructure you, and it won’t replace you with a chatbot.
So, if you’ve never invested before, here are three simple ways to get started:
- Start small, start now: you don’t need a fortune, even $1,000 gets you in the game.
- Think dividends, not just growth: companies that pay regular dividends can provide cash flow just like a paycheque.
- Educate before you speculate: learn the basics of trading and risk management before chasing the next hot stock, because knowing how to structure a trade correctly will make all the difference to your chances of success in the long run.
The bottom line is this: don’t be fooled by the official job numbers. Australia is already living through the biggest AI-driven job cull yet. The only question left is this: When AI knocks on your door, will you be ready?
For now, good luck and good trading.
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Dale Gillham is Chief Analyst at Wealth Within and international bestselling author of How to Beat the Managed Funds by 20%. He is also the author of Accelerate Your Wealth—It’s Your Money, Your Choice, which is available in bookstores and online at www.wealthwithin.com.au.
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