LAGOS – A Lagos-based food delivery company, Chowdeck, has laid off 86 employees, replacing them with Artificial Intelligence (AI) technology. The decision, which was made last week, is part of the company’s strategy to cut costs and increase operational efficiency.
Chowdeck, which started the year with 120 staff members, stated that the affected workers were primarily responsible for customer service, logistics coordination, and order management—roles that the company claims AI can now handle more effectively. A spokesperson for the company explained that automating these processes would reduce expenses while improving service delivery speed.
This move is part of a growing trend where businesses worldwide are integrating AI to streamline operations. However, the sudden job losses highlight the risks of technological advancements replacing human labor, raising concerns about job security and the ethical implications of AI in the workforce.
Experts predict that as AI continues to evolve, more companies may adopt similar strategies, prioritizing cost-effectiveness over employment. Meanwhile, labor unions and advocacy groups are calling for policies to protect workers from widespread displacement due to automation.
By Damilola Adeleke | March 16, 2025
Adeleke Damilola (ACTION) is a versatile content writer with expertise in news writing and a seasoned media professional and broadcast specialist. Currently serving as News Editor for DNews Info, Damilola is also the CEO of the ACTION brand, committed to shaping lives and establishing a legacy of excellence for present and future generations.
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