HSBC retraining workforce as AI reshapes financial industry jobs

HSBC Chief Executive Georges Elhedery said on Wednesday that artificial intelligence would both eliminate and create jobs across the financial industry, as the bank moves to retrain employees to adapt to the technology-driven shift.Speaking at an investor day event, Elhedery said staff must embrace AI-led transformation rather than resist it, adding that the bank was focused on preparing employees for future demands.“We all know generative AI will destroy certain jobs and will create new jobs,” Elhedery said.He added that the bank’s immediate priority was ensuring employees remained engaged throughout the transition.“But my initial mission is to have 200,000 colleagues with us on this journey. However, many will be left at the end of the journey, isn't the problem,” Elhedery said.“The problem is how can we make sure that those 200,000 colleagues have been given all the capabilities, the training, the tools to make themselves future ready, be more productive versions of themselves.”HSBC focuses on workforce transitionElhedery said HSBC employees needed to feel included in the transformation process and should not become disconnected from the company during the transition.The CEO said staff should ensure they were “not fighting us, not disenfranchised, not anxious, overwhelmed, and resisting the change.”His remarks came a day after rival Standard Chartered announced plans to cut thousands of jobs over the coming years, becoming one of the first major global banks to explicitly disclose the expected impact of AI on its workforce.Speaking during Standard Chartered’s investor day event, chief executive Bill Winters said the lender planned to replace “lower-value human capital” with technology and other investments.Winters said the roles affected would mainly be non-client-facing positions.The emerging markets-focused bank said it would reduce 15% of its corporate function roles by 2030.Banks accelerate AI adoption for efficiencyThe comments from HSBC and Standard Chartered underline how major financial institutions are increasingly focused on reducing costs while accelerating the adoption of advanced AI technologies.Banks are also attempting to strengthen operations against rising cyber threats while integrating frontier AI models into daily business functions.Earlier this year, Japanese lender Mizuho announced plans for up to 5,000 job cuts over the next decade.HSBC has identified AI as a central part of its broader strategy to improve returns through automation and streamlined operations.In March, the bank appointed David Rice as its first chief AI officer.AI rollout expands across HSBC operationsElhedery said HSBC was deploying AI across several divisions to simplify operations and personalise services for customers.According to an investor presentation from the bank, is revamping multiple areas through AI integration, including customer onboarding, Know Your Customer functions, financial risk and monitoring systems, contact centres, and wealth management operations.The lender views AI-driven automation as a key component of improving productivity and operational efficiency across its global business.The post HSBC retraining workforce as AI reshapes financial industry jobs appeared first on Invezz