Italy’s largest bank, Intesa Sanpaolo, has reached an agreement with trade unions to implement 9,000 voluntary job cuts—about 10% of its workforce—driven by advancements in artificial intelligence (AI) and digitalisation.
Simultaneously, the bank plans to recruit approximately 3,500 young professionals in wealth management by mid-2028, according to a statement released Wednesday evening.
The initiative is aimed at facilitating “generational change at no social cost” while bolstering the Group’s long-term sustainability through a “resilient business model in the context of digitalisation and artificial intelligence,” Intesa Sanpaolo stated.
The restructuring is expected to save the bank €500 million ($540 million) annually in staff costs from 2028 onwards, with 7,000 job cuts occurring in Italy and the remainder in its international operations.
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To fund the departures, the bank will take a €350 million charge against its fourth-quarter earnings, though this will not affect its projection of over €8.5 billion in net profit for 2024.
Intesa Sanpaolo shares remained steady during midday trading in Milan.
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