Analysts at Wells Fargo are forecasting that up to ten percent of bank jobs in the US will be wiped out by ongoing technological progress in the next ten years. As many as 200,000 jobs will disappear as machines replace labour during a new ‘golden age of banking efficiency’, the 225-page report states.
And it’s not just the robot revolution doing the damage, as US banks elevate tech spending annually to $150 billion to take advantage of advances in cloud computing, Big Data analytics and artificial intelligence. The investment will lead to significant savings, as a back office, call centre, sales and branch jobs are decimated.
The cuts are likely to be so deep that up to half of all bank expenses will be consumed by employee compensation programmes.
