HSBC is reportedly considering cutting up to 20,000 jobs as part of a multi-year automation overhaul
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The
UK’s largest bank, HSBC, is considering cutting up to 20,000 jobs over
the coming years as part of a major push to integrate artificial
intelligence into its operations, Bloomberg reported on Thursday.
The
potential reductions would represent approximately 10% of the
London-based bank’s global workforce, which stood at around 210,000
employees at the end of 2025. Non-client-facing roles in global service
centers are expected to be most impacted, particularly in middle- and
back-office functions that could be automated.
The deliberations
are still at an early stage and no final decisions have been made,
Bloomberg said, citing sources familiar with the matter. A spokesperson
for HSBC has declined to comment on the report.
The bank’s chief executive officer, Georges Elhedery, who took the
helm in 2024, has already cut thousands of jobs as part of a radical
restructuring. The bank recently announced it expects to achieve a $1.5
billion cost-savings target in the first half of the year – six months
ahead of schedule.
HSBC Chief Financial Officer Pam Kaur said this
week that the bank sees significant opportunities to deploy AI in
customer service and transaction monitoring to enhance efficiency.
The
move comes amid a broader trend across the global banking industry.
Last year, a Bloomberg Intelligence report projected that banks could
eliminate up to 200,000 positions in the next three to five years as AI
takes over tasks currently performed by human workers.
A recent
study by the Morgan Stanley investment bank found that British companies
had reported an 8% net reduction in jobs due to AI over the past year –
the highest rate among major economies including Germany, the US,
Japan, and Australia, and double the international average. The
Institute for Public Policy Research has calculated that 8 million UK
jobs are under threat from automation.
The news comes as polling shows growing public anxiety over
AI’s impact on employment. A Blue Rose Research survey published this
week found 79% of Americans are concerned the government has no plan to
protect workers from job losses driven by AI, with 58% demanding the
government prioritize helping displaced workers over tech company
profits.