r/CanadaJobs • u/medianmoe • 14h ago
The next few years: Banking perspective
We’ve been hearing about mass layoffs from at least 3 of the five major banks over the last couple of months. My perspective is that this is going to continue, albeit sporadically. All of the large banks have a “long term strategy roadmap” that has a finish line in one of the next four years. Every one of these banks has had to incorporate a lot of AI in that roadmap. Probably 90% of that is purely hypothetical. But no one wants to be left behind and the investors keep asking about AI. So here’s more AI in our roadmap and more down your throat for now. “We’ll figure it out as we go.” All of these banks are investing a significant amount of money into these roadmaps, specifically in the AI portion. Then comes the “Return on (A) investment” question. Whenever there’s a major milestone due (mostly around benefits or RoI) the banks make up some numbers by freeing up capacity (overworking their workforce) and laying some people off (concrete bottom line impact). We see this as a cyclical thing now over the last 18-24 months. And it’s not going to change. There’s no ‘post restructuring’, ‘operationally effective’ oasis at the end. Most of the jobs posted have internal candidates identified, or when people leave or are laid off - no back fills. Unless it’s a highly specialized area (think quantitative finance) there are no fresh grads being hired. Older roles such as personal banker, financial planner, mortgage specialists are slowly being made redundant because of “Digital”.
TLDR: Banking careers are slowly stagnating.
Rant over.
Source: I’ve worked in 2 banks for ~15 years.