In a study conducted by Wells Fargo & Co, it says that robots will replace bank employees due to and will advancement of robotics will cost #jobs of about 200,000 people across U.S in banking industry.
U.S spends almost $150 billion every year on tech related #innvovations. This is more than any other industry. A senior analyst at Wells Fargo Securities LLC, Mike Mayo said that, this investment in tech will lower costs with employee compensation accounting for half of all bank expenses. While jobs related to tech, sales, advising and consulting less affected employees in back office, bank branch, call center and corporate employees are being cut by a fifth to a third.
How This Will Affect the Banking Work Force
Michael Tang, a Deloitte partner who leads the consulting firm’s global financial-services innovation practice stated in an interview stated that, “It will be a dramatic change in contact centers, and these are both internal and external.” He also said that “We’re already seeing signs of it with chatbots, and some people don’t even know that they’re chatting with an A.I. engine because they’re just answering questions.”
In order to predict the immense cuts to the employees banking field, Wells Fargo & Co joined with bank executives, consulting firms and others. The amount of front office workers in #banks are expected to reduce by almost a third by the introduction of the robots and other technologies, said McKinsey & Co. According to Coalition Development Ltd. data. R. Martin Chavez, , an architect of Goldman Sachs Group Inc., total number of front office employees for investment banking and trading fell for a fifth year in 2018. He also mentioned that in the near #history, #traders will have to learn coding in order to succeed in Wall Street.
