DBS Bank to Cut 4,000 Jobs as AI Replaces Human Roles
DBS Bank, Singapore’s largest financial institution, plans to cut 4,000 jobs over the next three years as artificial intelligence (AI) takes on tasks traditionally handled by humans.
According to a DBS spokesperson, the workforce reduction will occur through natural attrition as temporary and contract roles phase out over time. Permanent employees will not be affected by the workforce reduction.
Outgoing CEO Piyush Gupta announced that the bank will also create 1,000 AI-related jobs, positioning DBS as one of the first major banks to reveal specific AI-driven workforce changes.
DBS employs between 8,000 and 9,000 temporary and contract workers, with a total workforce of around 41,000. However, the bank has not disclosed how many job cuts will occur in Singapore or which specific roles will be affected.
According to Gupta, DBS has been integrating AI for over a decade. The bank now operates more than 800 AI models across 350 use cases, and its expected economic impact will exceed S$1 billion ($745 million) by 2025.
As part of its leadership transition, current Deputy CEO Tan Su Shan will replace Gupta, who will step down at the end of March.
The increasing use of AI has raised concerns about its impact on jobs worldwide. In 2024, the International Monetary Fund (IMF) reported that AI could affect nearly 40% of global employment. IMF Managing Director Kristalina Georgieva warned that AI might worsen income inequality.
However, Bank of England Governor Andrew Bailey expressed a different perspective, stating that AI is unlikely to become a “mass destroyer of jobs.” He emphasized that while risks exist, AI also offers significant potential for the future of work.
