If the intellectual property can be captured inside an LLM that is cheaper, tireless, compliant, not demanding, does not require HR, and will not jump to a competitor for higher pay, why would capital owners look at SWEs as assets?

You could say LLMs can't "keep intellectual property in their heads", but even today they don't need to. They just need to capture everything in a bunch of artifacts -- code, docs, spreadsheets, etc. -- which is already possible. The same things we do but to a limited extent because we're human. LLMs, being tireless, can do so with much more meticulous detail. Whatever an LLM cannot do can be done by a fraction of the workforce.

Yes, enlightened companies used to value their engineers, but the calculus has shifted. Look around -- layoffs, RTO mandates, AI mandates, offshoring, under-leveling, record levels of burnout -- even before AI has been widely adopted! The tech industry overall is been telling us what their stance is with their actions louder than any amount of perks or "we are all family" ever could.

It's not "because capital owners BAD", it's just "because Capitalism."

Our primary edge at this point is creativity and innovation that creates new intellectual property. I think that will be safe for a while, but that requires a pretty high level of skill and experience, which excludes a majority of the workforce. This is where I suspect a lot of pain will be felt.