In brief
In a landmark decision, DBS Bank, Singapore's largest bank, has revealed plans to eliminate around 4,000 positions in the coming three years due to the integration of artificial intelligence (AI) into its operations. The roles impacted will mainly consist of temporary and contract staff, and the cuts will result from "natural attrition" as current projects reach completion, according to a bank spokesperson.
The ongoing transformation within the banking sector comes as DBS anticipates the creation of approximately 1,000 new roles centered around AI technology and development. This initiative positions DBS as one of the pioneers among major banks in addressing the influence of AI on employment. The bank has yet to specify the number of roles affected within Singapore, where it currently employs about 41,000 individuals, including 8,000 to 9,000 temporary positions.Outgoing CEO Piyush Gupta highlighted that the bank has been advancing its AI capabilities for over a decade, now deploying more than 800 AI models across various use cases, predicting an economic impact exceeding S$1 billion ($745 million) by 2025. The changes arrive alongside discussions regarding the broader implications of AI on the workforce, with the International Monetary Fund (IMF) suggesting that nearly 40% of jobs globally could be influenced by AI advancements by 2024. Governor of the Bank of England, Andrew Bailey, argued that while there are risks, AI technology also presents substantial opportunities for improved productivity and efficiency in the workforce.
