European Banks to Slash 200,000 Jobs by 2030 as AI Reshapes the Financial Sector

Around 200,000 banking jobs are set to vanish across Europe. As lenders embrace AI to chase a 30% efficiency boost, the human cost of digital transformation in the financial sector is coming into sharp focus.

The Numbers Behind the European Banking AI Job Cuts

According to a Morgan Stanley analysis reported by the Financial Times, more than 200,000 roles could be eliminated by 2030. This represents roughly 10% of the workforce at 35 major banks. The reduction will hit hardest in back-office operations and compliance, where algorithms now outperform humans in data-heavy tasks.

A Global Shift: Goldman Sachs and Beyond

The trend isn't limited to Europe. Goldman Sachs implemented a hiring freeze and job cuts through late 2025 as part of its 'OneGS 3.0' initiative. Meanwhile, Dutch lender ABN Amro plans to cut its staff by a fifth by 2028. The message from leadership at firms like Société Générale is clear: efficiency is the new priority, and no department is safe.

The Risk of Losing the Human Touch

However, some leaders urge caution. An executive from JPMorgan Chase told the FT that if junior bankers don't learn the fundamentals because AI handles the grunt work, it could haunt the industry. The long-term impact on institutional knowledge remains a significant concern.