The Commonwealth Bank of Australia (CBA), the nation’s largest bank, has reversed its plan to cut 45 customer service jobs and replace them with AI technology. The move follows pressure from the Finance Sector Union (FSU), which argued that the bank was not transparent about call volumes and took the matter to a workplace relations tribunal. CBA had initially claimed its voice bot reduced call volumes by around 2,000 per week. However, the union countered that call volumes were actually increasing, forcing the bank to offer overtime and even assign team leaders to handle customer calls. Bank’s Statement on the Decision A CBA spokesperson admitted the bank’s initial decision was flawed, saying: “We have apologised to the employees concerned and acknowledge we should have been more thorough in our assessment of the roles required.” The spokesperson explained that the earlier assessment did not fully consider all business needs and therefore the jobs were not redundant. Employees affected by the decision have been given options to remain in their current positions, apply for other roles within the company, or exit the organisation. Broader Context of AI in Banking CBA CEO Matt Comyn has been at the forefront of adopting new technologies, with the bank recently announcing a partnership with OpenAI to develop advanced AI tools for staff and customers. Globally, banks are weighing the potential of AI, with a Bloomberg Intelligence report estimating that up to 200,000 roles in back office, middle office, and operations could be cut in the next three to five years. Union Response The FSU welcomed the reversal, calling it a “significant win” for its members. The union argued that CBA failed to properly justify its redundancy decisions, noting that the bank was simultaneously recruiting for similar roles in India.
