The largest banking DBS in Singapore to reduce 4000 roles as it covers AI

Singapore’s most large bank, DBS, says it expects to reduce about 4,000 roles over the next three years, as artificial intelligence (AI) takes on more work done by humans.

This move will influence the temporary and contractual staff, said a bank spokesman, with the reduction of the workforce coming from “natural tingling” with the completion of the projects.

Permanent staff is not influenced by cuts. The outgoing CEO of the Piyush Gupta bank also said it expects to create about 1,000 new AI jobs.

This makes DBS one of the first big banks to offer details of how AI will affect its operations.

The company did not say how many jobs would be cut in Singapore.

“Over the next three years, we predict that AI may reduce the need to renew about 4,000 temporary/contractual employees of our 19 markets working on specific projects,” the DBS spokesman said.

“As such, we expect the reduction of the workforce to come from natural numbness, as these temporary and contractual roles have been completed over the next few years.”

DBS currently has between 8,000 and 9,000 temporary and contractual workers. The bank employs a total of about 41,000 people.

Last year, Gupta said DBS has been working on AI for over a decade.

“Today we have over 800 AI models in 350 use cases and expect the measured economic impact from them to exceed S $ 1 billion ($ 745 million; $ 592 million in 2025,” he added.

Gupta is ready to leave the company at the end of March. Current Deputy Executive Director Tan Su Shan will replace him.

The continued distribution of AI technology puts their benefits and risks under the spotlight, with The International Monetary Fund (IMF) says in 2024. that it should affect nearly 40% of all jobs worldwide.

IMF managing director Kristalina Georgieva said that “in most scenarios, AI is likely to worsen the overall inequality.”

Thehe Governor of England Bank Andrew Bailey told the BBC Last year, AI will not be a “mass destroyer” and human workers will learn to work with new technologies.

D -N Bailey said that while there were risks with AI, “has great potential with it.”