Workday wants a slice of customers' labour budget that its AI agents could replace

Workday wants customers to fund its AI agents from staffing and outsourcing budgets, not just IT spending, as it opens more HR and finance functions to automation. Speaking to investors at its annual conference in Las Vegas, the SaaS slinger said AI productivity gains could allow it to grow with fewer new hires. Customers could face a different cost calculation, however. Workday expects agent charges to grow with usage rather than simply the number of employees licensed to use its software. Chief AI Officer Joel Hellermark told financial analysts that automating work such as HR tasks could expand Workday's market "beyond the software budgets into the labor and services spend," where "customers are spending tens of millions of dollars on outsourcing." Hellermark claimed self-service AI agents had increased resolution rates for common tasks by 25 percent. "We're only getting started there," Hellermark said, arguing that Workday could significantly reduce customers' outsourcing spending. …