The shift will predominantly affect temporary and contract positions, while new AI-related roles are anticipated to emerge.
**DBS Bank Plans Job Cuts as AI Alters Workforce Dynamics**
**DBS Bank Plans Job Cuts as AI Alters Workforce Dynamics**
Singapore's largest bank, DBS, announces plans to reduce 4,000 roles amid rising AI integration over the next three years.
DBS, Singapore's leading bank, has revealed its intention to eliminate approximately 4,000 roles over the next three years as it embraces the growing capabilities of artificial intelligence (AI). A bank spokesperson clarified that the cuts will largely impact temporary and contract workers through "natural attrition" as various projects conclude. Notably, permanent staff positions will remain untouched by this workforce reduction.
DBS has been at the forefront of AI integration, being among the first major financial institutions to outline the potential impacts of AI on its operations. Although the specific number of job losses in Singapore remains undisclosed, the move comes as part of DBS's strategy to optimize operations across its 19 markets, where they currently engage between 8,000 and 9,000 temporary and contract employees out of a total workforce nearing 41,000.
Piyush Gupta, the outgoing chief executive, highlighted that DBS has developed over 800 AI models spread across 350 use cases since embarking on this technological journey a decade ago. He estimates that the financial benefits of these AI advancements could surpass S$1 billion (approximately US$745 million) by 2025. Gupta's departure will occur at the end of March, with Tan Su Shan, the current deputy chief executive, set to take over leadership.
As AI technology advances, its implications have become a focal point for many, including the International Monetary Fund (IMF), which anticipates that nearly 40% of global jobs will be influenced by AI by 2024. IMF Managing Director Kristalina Georgieva cautioned that potential outcomes might exacerbate existing inequalities in the workforce. Meanwhile, Bank of England Governor Andrew Bailey has voiced a more optimistic viewpoint, asserting that although AI poses challenges, it also carries immense potential for enhancing productivity and reshaping job roles.
DBS has been at the forefront of AI integration, being among the first major financial institutions to outline the potential impacts of AI on its operations. Although the specific number of job losses in Singapore remains undisclosed, the move comes as part of DBS's strategy to optimize operations across its 19 markets, where they currently engage between 8,000 and 9,000 temporary and contract employees out of a total workforce nearing 41,000.
Piyush Gupta, the outgoing chief executive, highlighted that DBS has developed over 800 AI models spread across 350 use cases since embarking on this technological journey a decade ago. He estimates that the financial benefits of these AI advancements could surpass S$1 billion (approximately US$745 million) by 2025. Gupta's departure will occur at the end of March, with Tan Su Shan, the current deputy chief executive, set to take over leadership.
As AI technology advances, its implications have become a focal point for many, including the International Monetary Fund (IMF), which anticipates that nearly 40% of global jobs will be influenced by AI by 2024. IMF Managing Director Kristalina Georgieva cautioned that potential outcomes might exacerbate existing inequalities in the workforce. Meanwhile, Bank of England Governor Andrew Bailey has voiced a more optimistic viewpoint, asserting that although AI poses challenges, it also carries immense potential for enhancing productivity and reshaping job roles.
