Explainer
Why is Barclays cutting 5,000 jobs while its profit rises?
AI-generated text and synthetic voice. How this text is made
Barclays says it will cut 5000 jobs this year, as it puts more artificial intelligence into its processes.
5,000
Of those, 1000 posts have already closed, and 4000 more should be completed by the end of the year, mostly operational and functional roles.
- Posts already closed1000 jobs
- Further cuts due by end of 20264000 jobs
Even so, pre-tax profit rose 12% to £2.3bn in the third quarter, though reports differ on whether it met expectations.
12%
Barclays says AI is making some work more efficient, and that it wants to lower costs structurally to free up capacity for investment. It targets savings of more than £1.1bn, and has not said how many cut posts automation will replace.
£1.1bn
Watch the explainer
Synthetic voice (AI)
The story
Barclays to cut about 5,000 jobs by year-end as AI lowers costs despite profit riseRead the article
Based on reports by
- der StandardDespite profit increase: British major bank Barclays cuts 5,000 jobs
- Berliner ZeitungBarclays cuts 5,000 jobs: AI replaces developers at British major bank
- The New York TimesBarclays to Cut 5,000 Jobs in A.I.-Driven Push to Lower Costs
- BFMTVBarclays cuts support functions with the arrival of AI: the British bank will eliminate about 5,000 jobs before the end of the year
- PÚBLICOBarclays fires 5,000 workers because of artificial intelligence
- EL MUNDOBarclays will eliminate about 5,000 jobs due to the development of AI