HSBC Considers AI-Driven Job Cuts Affecting 20,000 Roles

LONDON – HSBC Holdings PLC is reportedly weighing up to 20,000 artificial intelligence-driven job cuts over the next three to five years, according to Bloomberg. The potential layoffs, still in preliminary stages, would affect around 10% of the bank’s workforce, beginning with non-client facing roles in global service centres.

AI-Driven Job Cuts

CEO Georges Elhedery is said to be exploring AI to streamline middle and back-office operations, while CFO Pam Kaur recently highlighted AI’s potential to reduce costs and boost productivity. HSBC has set a target of US$1.5 billion in cost savings by mid-2026, six months ahead of schedule.

The move would place HSBC among other major firms that have announced AI-related layoffs, including Amazon, Meta, and Block. Analysts, however, caution that some companies may be “AI-washing” job cuts, using technology as a cover for broader cost-cutting measures. HSBC has declined to comment on the report.