Singapore’s largest bank, DBS, is set to reshape its workforce strategy in a bold move highlighting the transformative impact of artificial intelligence on banking operations.
Speaking at an industry conference this week, DBS' outgoing CEO Piyush Gupta said: «Over the next three years, we envisage that artificial intelligence (AI) could reduce the need to renew about 4,000 temporary/contract staff across our 19 markets working on specific projects.»
Notably, this restructuring does not affect permanent employees, ensuring that core staffing remains stable while the bank optimizes its project-based workforce. The reduction in roles will occur naturally as projects currently employing temporary and contract staff reach completion.
Pioneering Move in the Banking Sector
DBS is among the first major banks to provide explicit details on how AI will impact its operational model. The bank currently employs between 8,000 and 9,000 temporary and contract workers out of a total workforce of around 41,000.
As the bank navigates this shift, it not only demonstrates its readiness to harness the benefits of AI but also sets a precedent for how major financial institutions can adapt to an evolving technological landscape.
Investing in New Talent
While the integration of AI is leading to a reduction in temporary roles, DBS is simultaneously investing in new talent. Gupta confirmed that the bank expects to create roughly 1,000 new AI-related jobs soon.
Gupta noted further that the bank currently deploys more than 800 AI models across 350 use cases, with an anticipated economic impact exceeding S$1 billion by 2025.
Leadership Change
This announcement comes at a time of significant leadership change for DBS. Piyush Gupta is scheduled to step down at the end of March, with current deputy chief executive Tan Su Shan poised to take over the helm.
