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Shopify CEO: AI ratings signal commitment, not enforcement

Shopify CEO Tobi Lütke stated that AI peer ratings were for establishing company reputation, not enforcement, and AI skeptics will not become top performers.

Shopify logo on a smartphone screen with a blurred portrait of CEO Tobi Lütke behind it.
Shopify logo displayed on a smartphone screen. With Shopify CEO Tobi Lütke Instagram profile photo in the background. Indonesia – June 17, 2025 Image: Search Engine Journal

TORONTO — Shopify CEO Tobi Lütke said peer ratings on artificial intelligence use in employee performance reviews were intended to establish a company reputation for AI adoption rather than for strict enforcement.

Lütke indicated that while these ratings “did not matter” for individual disciplinary actions, they were important in signaling Shopify’s commitment to integrating AI into its operations, according to an interview on the Sources podcast with Alex Heath and The Knowledge Project.

A memo issued by Lütke in April 2025 established “reflexive AI usage” as a baseline expectation for all Shopify employees. The policy introduced specific AI usage questions into performance reviews and mandated that teams justify not using AI before requesting additional resources.

Lütke said employees who are skeptical of AI and choose to “lay low” will not achieve top-performer status within an AI-driven organization. He emphasized that companies should make this explicit to their workforce.

The CEO noted that the AI memo generated controversy outside Shopify but was largely accepted internally, suggesting that the company had already made a significant transition toward AI integration.

Shopify employees have reportedly coined the term “slop grenade” to describe unread AI-generated output that is passed on to colleagues, highlighting some of the internal challenges and perceptions related to AI adoption.

Lütke’s stance underscores a growing trend among technology leaders to mandate AI proficiency and integration as a core component of employee performance and company strategy.


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