Commonwealth Bank of Australia (CBA), the country’s largest bank, has announced the elimination of 45 call centre positions as part of its strategic move to integrate artificial intelligence (AI) technology. This decision comes after the bank’s substantial investment in AI, which it claims will streamline customer assistance, making it quicker and more efficient.
A spokesperson from CBA clarified that while these job cuts are significant, they represent a minor fraction of the bank’s overall workforce of approximately 38,000 employees. The bank aims to redeploy most of the affected staff into available roles within the organisation. According to the bank, it is essential to adapt to the evolving needs of customers by reassessing necessary skills and the structure required to deliver optimal services.
CBA is not alone in its investment in AI technologies, as many financial institutions across Australia are following suit. The newly implemented AI chatbot will handle straightforward inquiries, allowing customer service representatives to focus on more complex issues.
The spokesperson from CBA reiterated the commitment to making customer interactions smoother and faster, particularly within call centres, through technological advancements. They also acknowledged the changing work environment, noting that many employees have opted for the upskilling and reskilling programs being offered by the bank to further their careers and prepare for future roles.
The bank’s decision to inform the Finance Sector Union (FSU) about the role cuts attributed to AI signifies a broader trend within the sector. However, CBA reassured that no jobs are being transferred offshore as a result of this shift.
CBA is committed to ensuring that those impacted receive adequate support through a dignified and respectful transition process. This includes access to redeployment paths, career transition services, and mental health resources. Presently, CBA has around 450 positions open across its Retail Banking Services, with over 220 in frontline teams. The bank is also actively creating new roles aimed at promoting career development and helping employees align with future opportunities.
In its most recent financial statement, CBA reported a half-yearly net profit of $5.1 billion, an increase from $4.8 billion in the previous half-year, attributed to strong core business growth and reduced loan impairment expenses, despite facing higher operational costs from inflation and increased investment.
The FSU has voiced its discontent regarding the job cuts, labelling them as “hypocrisy at its finest,” while critiquing the vague rationale provided by the bank for these redundancies.