Standard Chartered is planning to cut nearly 7,000 jobs as the bank accelerates the adoption of AI to make its operations leaner and more efficient, according to reports.
The London-based lender said it aims to reduce 15% of its corporate functions by 2030. Based on estimates, around 7,000 roles out of more than 52,000 corporate positions across the organisation could become redundant.
The restructuring is expected to impact back-office centres in cities including Chennai, Bangalore, Kuala Lumpur, and Warsaw.
The bank is targeting a return on tangible equity of more than 15% by 2028, with plans to eventually reach nearly 18% by 2030.
“We are investing in the capabilities that will compound our competitive advantages and drive sustainable growth and higher quality returns over time, with clear targets in place,” the bank’s Chief Executive Bill Winters said in a report by an international publication.
Standard Chartered also plans to increase income per employee by nearly 20% by 2028, supported by the reduction in corporate roles and increased use of AI tools.
The lender now joins several major global companies that are using AI to improve efficiency and streamline operations.
The bank also dismissed speculation around leadership changes, confirming that Winters will continue leading the company during the transformation phase.
Alongside the restructuring, Standard Chartered plans to strengthen its focus on retail banking, corporate banking, and investment banking businesses.
The new strategy comes during a period of global uncertainty, with the ongoing West Asia conflict and continued closure of the Strait of Hormuz affecting oil prices and creating concerns around fresh investments by large companies.
Winters addressed concerns related to the Iran conflict and said the bank remains “extremely resilient”.
The lender had also set aside $190 million in precautionary provisions linked to the West Asia conflict during the first quarter.
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