HSBC is reportedly considering cutting up to 20,000 jobs as part of a multi-year automation overhaul

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.

READ MORE: Americans concerned over AI amid cost-of-living crisis poll

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.

(RT.com)