Business · Malaysia Bureau
Barclays to cut 5,000 jobs as bank embraces artificial intelligence
The British banking giant is trimming its workforce as part of a broader automation push, even as it reported stronger third-quarter results. The job cuts come amid a 13% surge in net profit driven by robust performance in its equities division.
LSN Malaysia ·
Barclays has announced plans to eliminate approximately 5,000 positions as the institution accelerates its investment in artificial intelligence and automation technologies. The redundancies represent part of a strategic shift toward digitisation across the bank's operations, reflecting a broader industry trend of leveraging technology to streamline business processes and reduce operational costs.
The London-based lender reported a 13% increase in third-quarter net profit, buoyed by strong trading activity in its equities division. Revenue gains from capital markets operations offset headwinds in other business segments, demonstrating the uneven recovery across different parts of the financial sector as economic conditions remain uncertain.
The job reductions are expected to unfold over coming years as Barclays implements its technology initiatives. The bank has not specified which divisions will be most affected, though automation typically impacts middle and back-office roles most significantly. Barclays joins other major financial institutions globally that have announced workforce reductions while simultaneously investing heavily in AI and machine learning capabilities.
The move signals the banking sector's confidence in technology-driven efficiencies, even as it raises concerns about employment prospects in financial services. Barclays has indicated that savings generated from the restructuring will be reinvested in technology infrastructure and customer-facing digital services.