Klarna reverses AI-only customer service, rehires human agents
STOCKHOLM, SWEDEN — Klarna, the Swedish buy now, pay later company, is reversing its artificial intelligence-first strategy and rehiring human customer service agents after a year of relying heavily on AI to handle customer inquiries.
The Swedish fintech giant now says customers must always have the option to speak to a human.
“AI gives us speed. Talent gives us empathy,” Klarna spokesperson Clare Nordstrom told CX Dive. “Together, we can deliver service that’s fast when it should be, and emphatic and personal when it needs to be.”
The pivot marks a strategic shift for the buy now, pay later firm, which had paused hiring and let go of staff while leaning into automation.
Klarna’s AI assistant is still active — handling around two-thirds of customer inquiries and delivering impressive metrics like 82% faster response times and a 25% reduction in repeat issues — but the company now admits it may have leaned too far into efficiency at the expense of quality.
Rehiring with a new model
CEO Sebastian Siemiatkowski, in a recent Bloomberg interview, acknowledged Klarna’s earlier approach placed too much emphasis on cutting costs. “As cost unfortunately seems to have been a too predominant evaluation factor… what you end up having is lower quality,” he said.
Klarna’s new direction involves recruiting customer service agents under an Uber-style model — offering competitive pay and flexible remote work.
Nordstrom said the pilot program will bring in highly educated students, professionals, and entrepreneurs for a new kind of role “that blends frontline excellence with real-time product feedback.”
The long-term goal is to replace thousands of outsourced roles with this hybrid model of in-house human support and AI assistance.
Industry-wide implications
The move reflects growing consumer dissatisfaction with fully automated service channels. Surveys by Verint and Five9 show customers overwhelmingly prefer human interaction for complex or sensitive issues, with 86% prioritizing empathy over speed.
Julie Geller of Info-Tech Research Group said Klarna’s revised strategy sets a valuable example. “Automate the routine to drive efficiency, but always ensure customers have a clear, easy path to a human,” she said. “They recognized that trust and satisfaction aren’t purely transactional — they’re emotional.”
