HDFC Bank Says AI Will Not Lead to Layoffs
HDFC Bank has clarified that the adoption of artificial intelligence will not result in job cuts. CEO Sashidhar Jagdishan said the bank sees AI as a tool to enhance efficiency and redeploy staff into customer-facing and technology roles rather than reduce its workforce.
AI Experiments in Progress
The bank, with a workforce of around 2.20 lakh employees, is running pilot projects in generative AI. Jagdishan noted that the results of these “lighthouse experiments” are expected in the next 18–24 months. Employees will gradually be shifted from backend processes to roles that engage more directly with customers.
Innovation Over Replacement
Jagdishan emphasised that AI investments are focused on improving customer service, re-engineering processes, and cutting turnaround time. He said decision-making will remain with humans, while AI will serve as an assistive tool. The bank expects only normal attrition to impact headcount, not layoffs.
Long-Term Growth Outlook
The CEO also highlighted India’s long growth runway in financial services, pointing out that the bank will continue to need more personnel at the front end. He reiterated that technology adoption will be aimed at growth and innovation, not workforce reduction.
