Standard Chartered to Cut Over 7,000 Back-Office Jobs in 4 Years with AI, Aims for Higher Profit
British bank Standard Chartered announced it is raising its target for Return on Tangible Equity (ROTE) to boost profitability. To achieve this, the bank plans to cut over 7,000 back-office positions within four years by promoting the use of artificial intelligence (AI) and automation, accounting for 15% of its back-office workforce. CEO Bill Winters emphasized that the move is not purely about cost-cutting but about replacing lower-value human capital with financial capital. The bank will also focus on high-margin businesses like wealth management.
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- 📰 Published: May 19, 2026 at 18:18
- 🔍 Collected: May 19, 2026 at 18:31 (13 min after Published)
- 🤖 AI Analyzed: May 19, 2026 at 18:52 (20 min after Collected)
(CNA, Hong Kong, 19th, Comprehensive Foreign Report) British bank Standard Chartered today raised its forecast for the key profitability metric, Return on Tangible Equity (ROTE), and stated that it will cut more than 7,000 back-office positions within four years as it pushes the application of artificial intelligence (AI). According to a Reuters report, Standard Chartered said in its latest strategy report to investors that it expects its ROTE to reach over 15% by 2028, an increase of at least 3 percentage points from the 2025 level, and further climb to about 18% by 2030. The bank plans to achieve these goals through significant staff reductions and the expansion of its key wealth management business. Consequently, Standard Chartered announced it will reduce its back-office workforce by at least 15% by 2030 at the latest. As of June last year, this part of the workforce numbered about 51,000, which translates to a reduction of over 7,000 positions. Standard Chartered has approximately 80,000 employees globally. CEO Bill Winters stated at a press conference that automation and AI applications are driving this downsizing. "This is not about cost-cutting, it's about using the financial and investment capital we're deploying to replace, in some cases, lower-value human capital," he explained. However, the outlook for some of Standard Chartered's key markets is clouded by geopolitical uncertainties. The bank is headquartered in London, but its business is focused on the Asia-Pacific region. Analysts warn that if the conflict in Iran persists, leading to higher energy costs and slower economic growth, it could affect borrowers' ability to repay, potentially requiring banks in the Asia-Pacific region to increase provisions. Standard Chartered Bank is attempting to meet its newly set targets by continuing to focus on higher-profit businesses, including affluent clients in retail banking and financial institutions within its corporate and investment banking divisions.