What are the benefits of using AI to fire the CEO instead of the employees?



In recent years, with the spread of generative AI and AI assistants, there has been a growing movement to replace white-collar employees with AI. Amidst this trend, a website has been launched for ' OverpAId ,' an AI that aims to replace not employees, but the CEO, the top leader of a company.

OverpAId — Fire Your CEO. Hire The Future.

https://overpaid.lol/

When you visit OverpAId's website, it says, 'Your CEO's salary is $22 million (approximately 3.588 billion yen) per year. Our (OverpAId's) fee is $4,699 (approximately 766,000 yen), and it's a one-time service.' OverpAId claims to be an AI that performs tasks that a company's CEO is responsible for, such as strategy planning, vision formulation, and creating emails to motivate employees, better, faster, and without the costs of chartering a plane to attend board meetings.



Scrolling down, you can read an explanation of why replacing CEOs with AI is such a good idea. In fact, in most large corporations, the relationship between CEOs and employees is unequal. The average total compensation for CEOs of

the S&P 500 , which comprises 500 leading companies listed in the United States, is $18.9 million (approximately 3.08 billion yen), and the compensation ratio in large listed companies is CEO:employees = 290:1. This reveals a tremendous disparity.



Over the past 40 years, the compensation of CEOs of major companies has increased by more than 1000%, while the salary increases of employees who support the growth of these companies have been far less. The increase in compensation for CEOs and executives has been defended by

the trickle-down theory , which argues that if the top and wealthy become richer, the benefits will spread to those below them, but as of the time of writing, this situation does not appear to be the case.



Furthermore, across all sectors, including technology, retail, media, logistics, and finance, the adoption of AI is leading to the dismissal of middle managers and employees. The resources freed up by the layoffs are being used for data center construction and agent AI licensing fees, while the salaries of the executives who implemented the workforce reductions remain the same or even increase.



The table below shows common phrases used in statements announcing employee layoffs due to AI implementation (left) and their actual meanings (right). 'Right-sizing the organization' means 'thousands of employees have been laid off, but the top of the organizational chart has been completely retained,' and 'Investing in our future' means 'the number of human employees will decrease, computing power will increase, and the boardroom will remain unchanged.'



The following shows a comparison of tasks that are difficult for AI to delegate (left) and tasks that AI excels at (right). Tasks that are difficult for AI include things like 'a nurse noticing a change in a patient's condition before the medical record is updated,' 'an engineer debugging a system failure at 3 a.m.,' and 'a teacher noticing what a child is doing at the back of the classroom.' On the other hand, tasks that AI excels at include things that a modern CEO might be good at, such as 'reading a report written by someone else in a meeting,' 'quietly approving a decision made by the team three weeks ago,' and 'adding a bonus to one's own compensation regardless of performance.'



'OverpAId' is an AI agent designed to replace such money-guzzling CEOs. As an AI, it can make instant decisions without keeping the team waiting, will not switch to a rival company no matter what kind of compensation is offered, does not require private jets or luxury hotels for business trips or lectures, and actively returns the profits earned by the company to its employees.



Using the calculator at the bottom, you can calculate how much additional bonus you could pay per employee if you fired your CEO, based on the CEO's salary and the number of employees. For example, if a company with 500 employees fires a CEO with an annual salary of $22 million, it would result in a bonus of $43,990 (approximately 7.17 million yen) per employee.



If you scroll all the way to the bottom, it will be clearly stated that 'OverpAId' is not a real product. This website is intended to be satirical and critical of the disproportionate compensation of individual executives compared to the value they bring, and the trickle-down theory that gives wealth to the rich but the lower classes receive little benefit.



The OverpAId website also contains plenty of sarcasm and criticism of greedy CEOs and unequal compensation systems, so it might be worth checking out if you're interested.

in AI, Posted by log1h_ik