A gradual shift towards digital operations is reshaping workforce dynamics at one of India’s leading private sector banks. As technology investments begin to deliver results, employee numbers are seeing a marginal decline.
Axis Bank reported a reduction in its total workforce to around 1.01 lakh employees in FY26, down from 1.04 lakh in the previous financial year, reflecting a decrease of nearly 3,000 employees. The bank attributed this change to improved productivity driven by consistent investments in technology.
Speaking after the earnings announcement, managing director and chief executive Amitabh Chaudhry said the decline is a natural outcome of the bank’s long-term digital transformation strategy. He highlighted that sustained spending on technology over the past 3–4 years is now enhancing operational efficiency across the organisation.
The bank clarified that the reduction was not limited to any specific department but occurred across functions. At the same time, Axis Bank continued to expand its physical footprint by adding nearly 400 branches during the year, which also required hiring and training efforts alongside increased digitisation.
Chaudhry noted that the bank has consistently allocated around 9% to 10% of its operating expenditure towards technology investments, regardless of business cycles, to build long-term strategic capabilities.
Despite the focus on automation, the bank stated that artificial intelligence has not yet played a major role in reducing headcount. Currently, AI is mainly being used to streamline processes and improve transaction speed rather than replace jobs.
On the financial front, Axis Bank reported a stable performance for the March quarter, with profit at ₹7,071 crore compared to ₹7,117 crore in the same period last year. The bank also announced a dividend of ₹1 per share for FY26.
Also read: Viksit Workforce for a Viksit Bharat
Do Follow: The Mainstream LinkedIn | The Mainstream Facebook | The Mainstream Youtube | The Mainstream Twitter
About us:
The Mainstream is a premier platform delivering the latest updates and informed perspectives across the technology business and cyber landscape. Built on research-driven, thought leadership and original intellectual property, The Mainstream also curates summits & conferences that convene decision makers to explore how technology reshapes industries and leadership. With a growing presence in India and globally across the Middle East, Africa, ASEAN, the USA, the UK and Australia, The Mainstream carries a vision to bring the latest happenings and insights to 8.2 billion people and to place technology at the centre of conversation for leaders navigating the future.