Bank executives’ AI talk takes frightening turn for workers

Goldman Sachs Group Inc. signage on the floor of the New York Stock Exchange (NYSE) in New York, U.S., on July 16, 2025. Photo by Michael Nagle/Bloomberg

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At Standard Chartered Plc, chief executive Bill Winters said Tuesday he’s replacing “lower-value human capital” with financial and technology capital to cut 8,000 support roles over the next four years. A week earlier, Goldman Sachs Group Inc. chief operating officer John Waldron described his firm’s traditional operations as a “human assembly line” ripe for automation.

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Even in finance, where executives are known for talking tough, discussions of jobs used to be delicate matters. Wells Fargo & Co. chief executive Charlie Scharf said at a conference in December that “no one wants to stand up and say that we should have — that we’re going to have — lower headcount in the future. It’s a difficult thing to say.” The more recent statements from bank executives suggest that’s no longer the case.

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“It’s frightening language indeed,” said Denise Shull, a longtime leadership and performance coach for finance executives. “Would you say those words to your kids?”

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By using dehumanizing language, “you tell your employees exactly where they stand,” added Brian Elliott, a workplace consultant and author of How the Future Works.

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Where they stand is this:  AI agents are already able to handle routine back-office tasks and even some of the work performed by junior bankers. Roughly 30 per cent of work hours in finance and insurance could be automated by 2030, McKinsey & Co. estimates. And more than half of jobs across banking have a high potential to be replaced by technology, according to research from Citigroup Inc. 

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“Our human assembly lines will become more digitized,” Waldron said in a CNBC interview on May 12. “I’m not sure dynamically how the overall headcount will change, but I think the firm is going to get much more resilient and much more scalable.”

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Citadel chief Ken Griffin recently said that a “step change” in AI’s capabilities is allowing AI agents to do in hours what staffers with advanced degrees previously took weeks to do. “It’s like, wow, like that’s the first time I’ve seen real impact in our four walls,” Griffin said in April at Stanford University. “These are not mid-tier white collar jobs. These are, like, extraordinarily high-skilled jobs being — I’m going to pick a word — automated by agentic AI.”

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Read next: College Kids Don’t Want Your AIAI’s potential to boost productivity on Wall Street has led to the jarring juxtaposition of reducing headcount while bank stocks soar, helped along by record earnings. Last year, big U.S. banks reduced staff by the most in almost a decade. The cuts continued in the first quarter at four of the six largest firms.

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In 2027, global banks could see pretax profits as much as 17 per cent higher than they would otherwise have been — adding as much as $180 billion to their combined bottom line — as AI boosts output, according to Bloomberg Intelligence.