The DBS Group, based in Singapore, is reducing its workforce by 10% due to the increasing use of artificial intelligence (AI).
The bank has around 41,000 global employees and expects to cut 4,000 jobs. This will affect contract workers, temporary staff, but not permanent staff.
DBS claims that the redundancies are the result of “natural depletion” as projects complete over the next couple of years.
The bank, which is Southeast Asia’s biggest lender, currently employs between 8 and 9,000 temporary and contract staff. However, it has not specified how many positions will be lost in Singapore.
Piyush Gupta said that he expects to create around 1,000 AI-related jobs. He is leaving his position at the firm by the end of the month.
He revealed in 2024 that DBS has been developing AI technology for over 10 years.
He said that “we have deployed over 800 AI models in 350 use cases, and we expect their economic impact to be greater than S$1bn.”
Many employers are still unsure about the impact of AI on their operations.
In the UK, earlier this month, the CIPD stated that AI can deliver growth, but its impact on employment, skills requirements and organisational strategies must be taken into consideration.
In January, Nuffield funded research called the Pissarides review into the Future of Work and Wellbeing found that the new technologies, such as automation and artificial intelligence, can lead to better job opportunities – but with the right HR strategies.
In the final report of a 3-year study on AI, work, and wellbeing, it was found that by prioritising people, the impact of new technologies on wellbeing can be reduced and work can improve.
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