"According to a new Morgan Stanley analysis reported by the Financial Times, more than 200,000 European banking jobs could vanish by 2030 as lenders lean into AI and shutter physical branches. That's roughly 10% of the workforce at 35 major banks. The bloodletting will hit hardest in back-office operations, risk management, and compliance, the unglamorous guts of banking where algorithms are believed capable of tearing through spreadsheets faster and more effectively than humans."
"The downsizing isn't confined to Europe. Goldman Sachs had warned U.S. employees in October of job cuts and a hiring freeze through the end of 2025 as part of an AI push dubbed "OneGS 3.0" that's targeting everything from client onboarding to regulatory reporting. Some institutions are already swinging the axe. Dutch lender ABN Amro plans to cut a fifth of its staff by 2028, while Société Générale's CEO has declared "nothing is sacred.""
More than 200,000 European banking jobs could be eliminated by 2030 as lenders adopt AI and close physical branches, equal to roughly 10% of staffing at 35 major banks. Reductions will concentrate in back-office operations, risk management, and compliance, where algorithms can process spreadsheets faster and more accurately. Banks expect efficiency gains near 30%. Similar AI-driven reductions are planned or underway in the United States. Several institutions have already announced large cuts, while some leaders warn that reducing junior roles could erode fundamental training and harm long-term industry capability.
Read at TechCrunch
Unable to calculate read time
Collection
[
|
...
]