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AI: Jobs, Power & Money
24AUG

A Coruna cuts may double to 160 jobs

2 min read
16:17UTC

Concentrix told Spanish worker representatives it had lost a further client service, which could take its second redundancy round at A Coruna to 160 posts.

EconomicDeveloping
Key takeaway

Spain's dismissal process binds the outsourcer, not the client whose AI decision ended the work.

Concentrix, the American customer-experience outsourcer, disclosed the loss of a further client service during consultation at its A Coruna site in Galicia, raising the second redundancy round there to as many as 160 jobs. 1 Unions ratified the first round of 80 posts in July , so the site stands to lose twice what was agreed six weeks ago.

Spanish law routes collective dismissals through an expediente de regulacion de empleo (ERE), a compulsory consultation with worker representatives that must run before any dismissal takes effect. The ERE fixes who is dismissed, on what terms and with what compensation, and it gives the workforce a seat at the table with its employer. It reaches the employer and nobody else.

That boundary is the whole difficulty here. Unions name Microsoft's push of customer support towards AI self-service as the reason the contracted work disappeared. Microsoft is not a party to the consultation, has no obligation to appear, and owes Spanish labour authorities no explanation for a product decision taken in Redmond. The outsourcer that must answer for the redundancies did not make the decision that caused them, and the firm that made it faces no Spanish process at all.

Outsourced customer service is where this pattern will keep surfacing, because the industry exists to hold employment risk on somebody else's balance sheet. A client can withdraw a service line by email; the vendor then runs a statutory consultation, pays statutory compensation and absorbs the reputational damage. Any European rule intending to reach AI-driven displacement in this sector will have to bind the buyer of the service rather than the seller of the labour, and no instrument in force does that today.

Deep Analysis

In plain English

Concentrix, a customer-service outsourcing company, agreed a redundancy deal in July covering 80 jobs at its A Coruña site in Spain, described by unions as Europe's first completed AI-attributed collective redundancy. It is now considering a second round that could double the total job losses at the site to 160, after losing a further client contract.

What could happen next?
  • Consequence

    A second Concentrix round at the same site puts the AI-attribution question back on a contract loss Concentrix itself has not confirmed as AI-driven.

First Reported In

Update #19 · Four methods, one answer on AI and jobs

La Republica· 24 Aug 2026
Read original
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This Event
A Coruna cuts may double to 160 jobs
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