February 23, 2026
Staffing Still Matters for CX, Gallup Survey Reveals
Artificial intelligence is widely seen as the engine of a leaner, more productive future. Across industries, organisations are reducing headcount, automating tasks and pushing employees to do more with less. However, new research by Gallup suggests that even as automation accelerates, customer experience is suffering when staffing levels fall too far. According to the global analytics and advisory firm, staffing remains the single biggest barrier to delivering exceptional products and services.
Gallup’s latest research paints a picture of organisations operating under mounting workforce strain. Staffing concerns have intensified alongside ongoing workforce reductions. Nearly one in four US employees report their organisation is shrinking its workforce, a figure that has risen sharply since early 2023. Among those reporting layoffs, employees who work directly with customers are the most affected.
The impact is immediate and tangible. As headcount declines, internal pressure rises. Nearly two-thirds of employees say they have been asked to take on additional responsibilities within the past three months. More than half report team restructurings and reorganisations, while budget reductions have surged significantly compared with the previous year.
Weaker Customer Outcomes
These pressures are translating directly into weaker customer outcomes. When asked to identify the greatest barrier to delivering exceptional products and services, more than a third named staffing as the primary obstacle. This far exceeded other potential barriers, such as training, tools or equipment, and unclear standards. Note “tools” and “equipment” here, which would include the likes of AI and automation that purport to augment or even replace workers.
One way the effects of reduced workforce are being shown to impact CX are through organisations’ ability to uphold assurances to customers. Four in ten were shown to strongly agree that they bear significant responsibility for the quality of products and services customers receive, but only 23 percent would strongly agree that their organisations consistently deliver on the promises they makes to customers. This figure has remained unchanged for the past four years.
Staffing strain is not evenly distributed. Healthcare, government and education report the greatest challenges, with healthcare showing the highest proportion of employees identifying staffing as a barrier. Even in the least affected sectors, such as finance, the issue remains significant.
The report also uncovered a relationship between employee engagement and customer experiences. Nearly seven in ten engaged employees feel strongly responsible for service quality, compared with less than a third of disengaged workers.
The Pro-AI Narrative
These findings sit uneasily alongside the dominant narrative surrounding automation. Many organisations are reducing staff as AI adoption grows, with Gartner finding that one in five customer service leaders report AI driven headcount reductions, while 91 percent say they are under pressure to implement AI.
Some predictions go further. Mustafa Suleyman, Microsoft AI CEO, has suggested AI could replace most white-collar work within 12 to 18 months. Corporate leaders are also reporting major productivity gains. Marc Benioff, CEO of Salesforce, recently stated that “AI is doing 30 to 50 percent of the work at Salesforce now”, following significant job cuts. Meanwhile, UK service sector data suggests productivity can rise even as workforce numbers fall, reinforcing the belief that automation is filling the gap.
A Mixed Picture
Automation may be enabling organisations to reduce staff while maintaining or even improving productivity. At the same time, however, Gallup’s findings link reduced staffing levels to poorer customer experiences.
Some organisations may be overlooking the uniquely human contributions that support strong customer relationships. Others may be experiencing staffing reductions driven by purely financial or operational pressures rather than an intentional shift to automation. Conversely, artificial intelligence product vendors like Salesforce, Five9, and 8×8 may simply be riding the wave of AI demand, shouldering much of the work across their product, sales, and PR departments.
The relationship between AI, staffing and customer experience is far from certain. With Gallup reportedly surveying more than 23,000 US employees at a 95 percent confidence level, its findings carry weight. Moreover, it aligns with the more traditional relationship between staffing and productivity.
A safe conclusion for now could be that technology is reshaping work, but evidence also points to people continuing to play a central role in delivering customer experiences. Staffing still matters, although for how long is another question entirely.
