Barclays Cuts 5% of Jobs In AI Overhaul

Good morning. Barclays says it is cutting 5,000 jobs, or about 5% of its workforce, as the bank incorporates AI more deeply into its business.

Volatile tech markets reflect the challenges of comprehending and valuing the growth of AI companies. But in the enterprise, the adoption of AI is pushing forward, and it’s beginning to reshape the way companies look and operate.

While new technologies typically lead to growth over the long-term, it doesn’t follow that those transitions are painless.

Barclays Chief Executive C.S. Venkatakrishnan, in remarks about third quarter results, said around 60% of the actions relate to support functions, “including fewer developers as AI makes our people more productive.” AI has made dramatic advances over the last year in its ability to write code, and it is having a big impact on the role of the developer.