HSBC Layoffs: The impact of artificial intelligence (AI) on the banking sector is now becoming clear. AI threatens 20,000 jobs. Find out which employees will be affected and when the layoffs will occur.
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Bank Jobs Cut: The impact of artificial intelligence (AI) is now becoming evident in the banking sector. HSBC Holdings, one of the world’s largest banks, is preparing for large-scale layoffs. According to Bloomberg reports, the company could eliminate approximately 20,000 employees in the coming years, representing approximately 10% of its total workforce.
AI is transforming the banking sector
This move at HSBC is seen as part of a strategy to adopt AI-based technologies. The company believes that many tasks can now be performed through automation and AI, reducing the need for employees. This change indicates that technology will further dominate the banking sector in the future.
Which employees will be most affected?
According to the report, the layoffs will most impact employees who are not directly involved with customers, particularly those in the back office and global services support functions. These areas can be handled using AI, so job cuts are more likely.
When will the change occur?
HSBC’s plan could be implemented over a period of 3 to 5 years. However, a final decision has not yet been made, and the company is discussing this internally. HSBC had approximately 210,000 employees by the end of 2025, so the 20,000 layoffs are considered a significant step.
Cost-reduction strategy also a reason
The company is already working towards cost reductions. HSBC recently set a cost-saving target of $1.5 billion, which it expects to achieve ahead of schedule. Under the leadership of CEO George Elhadary, the company has made several major changes, including selling businesses and restructuring.
Global threat due to AI
According to a Bloomberg Intelligence report, banks worldwide could lose up to 200,000 jobs due to AI in the next 3–5 years. Meanwhile, the impact of layoffs in the tech sector is already visible as early as 2026.
Several companies have laid off 35,000 employees.
Companies like Amazon, Meta, and Oracle have already implemented major layoffs. While the increasing use of AI will reduce costs for companies, it will also create new challenges for employees. Roles that could be replaced by automation are particularly at risk.
The potential layoffs at HSBC demonstrate that AI is no longer just a technology but has become a major force impacting employment. In the future, companies will increasingly move toward automation, which could lead to significant changes in the job market.
