Barclays said it will cut around 5,000 jobs, representing about 5% of its workforce, as the bank increases its reliance on artificial intelligence (AI) across its business.
The bank attributed the reduction to the growing use of AI tools and automation in its operations. Barclays said the move reflects changes in how work is carried out as technology is integrated into more functions.
The announcement underscores a broader trend in financial services toward automation and data-driven systems. Banks and other financial institutions have been investing in machine learning, robotic process automation and other AI applications to streamline processes, reduce costs and improve customer service.
Such workforce reductions highlight the tensions companies face as they balance the efficiencies offered by new technologies with the social and economic impacts of job displacement. The shift is likely to draw attention from employee representatives, industry observers and regulators concerned with workforce transition, retraining and the governance of AI implementation.
Barclays’ decision will add to the ongoing debate about how the financial sector and policymakers should manage technology-driven change, including the need for reskilling programmes and clear standards for the deployment of AI in banking.