Affirm (AFRM) CEO Max Levchin Says Executives Blaming AI for Layoffs Should 'Own' Their Mistakes

Affirm Holdings Inc. (AFRM) CEO Max Levchin on June 1 criticized corporate leaders who justify workforce cuts by citing artificial intelligence, arguing they use AI as a "fig leaf" to mask poor hiring decisions. In a Yahoo Finance Power Players podcast, the PayPal co-founder said executives should own their miscalculations rather than hide behind the technology. Levchin, who pledged no AI-related layoffs at Affirm, called such firings "a terrible thing to do" and insisted leaders should admit, "I made a mistake. I shouldn't have hired so many people." His blunt assessment follows a year of deep cuts across the tech sector. Block (XYZ) eliminated 40% of staff in February, while Amazon (AMZN) slashed 16,000 positions. Oracle (ORCL) cut up to 30,000 jobs, and Coinbase (COIN), Cloudflare (NET), and Meta (META) each reduced headcount by 10% to 20%, often framing the moves as AI-driven efficiency efforts.