Singapore’s largest bank, DBS, plans to reduce approximately 4,000 roles over the next three years as artificial intelligence (AI) takes on tasks currently handled by humans.
A bank spokesperson clarified that the cuts would primarily affect temporary and contract staff, with workforce reductions occurring through “natural attrition” as projects conclude. Permanent employees will not be impacted.
Outgoing CEO Piyush Gupta stated that the bank also intends to create around 1,000 new AI-related positions. This makes Singapore’s DBS one of the first major banks to outline AI’s impact on its workforce.
The bank did not disclose how many jobs would be affected in Singapore specifically.
“Over the next three years, we anticipate that AI could eliminate the need to renew around 4,000 temporary and contract roles across our 19 markets,” the spokesperson said, emphasizing that these reductions will happen gradually as projects wrap up.
Currently, DBS employs between 8,000 and 9,000 temporary and contract workers, out of a total workforce of approximately 41,000.
Gupta noted that DBS has been working on AI for over a decade, with more than 800 AI models deployed across 350 use cases. He expects these AI applications to generate an economic impact exceeding S$1 billion ($745 million; £592 million) by 2025.
Gupta is set to step down at the end of March, with current deputy CEO Tan Su Shan slated to take over.
The growing adoption of AI has sparked global discussions on its benefits and risks. The International Monetary Fund (IMF) projected in last year in 2024 that AI could impact nearly 40% or more of jobs worldwide.
IMF Managing Director Kristalina Georgieva warned that AI could exacerbate inequality in many scenarios. However, Bank of England Governor Andrew Bailey expressed optimism, stating last year that AI is unlikely to be a “mass destroyer of jobs” and that workers will adapt to new technologies. While acknowledging AI’s risks, Bailey highlighted its significant potential.
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