American Express will cut about 5% of its global workforce, around 3,500 jobs, as part of a restructuring plan. CEO Stephen Squeri announced the move on Friday, presenting it as a way to make the organization more agile and efficient. The cut came on the same day the group raised its 2026 profit forecast above Wall Street expectations, and the shares fell about 2.5% in early trading.
The company said the goal is to reduce management layers, speed up decision-making and free resources for investment. According to The Wall Street Journal, the plan does not specify which departments or locations will be affected. Chief Financial Officer Christophe Le Caillec told CNBC that AI is one of the factors behind the changes. Bloomberg reported that the group has about 78,000 employees, so 5% corresponds to roughly 3,500 positions.
Image: americanexpress.com — https://www.americanexpress.com/en-us/company/
The move comes as the company tries to contain rising costs that had drawn investor attention, even as profits grow. Quarterly earnings rose, driven mainly by spending from wealthier customers and the shift to its higher-fee Platinum card. The result is profit growth alongside a smaller workforce.
The case is not isolated. The previous day Barclays announced around 5,000 job cuts, also partly attributed to AI progress, and HSBC is planning reductions in its UK wealth-management business. Challenger data cited by FounderReports show AI was cited in 38,579 US job cuts in May 2026, 40% of that month's total and the highest monthly figure since the agency began tracking AI as a reason.
Image: thelayoff.com — https://www.thelayoff.com/t/1k9sx7ex9
Finance is already substituting tasks. Visa eliminated about 2,600 positions in July, and DNB announced around 400 cuts in its technology division. As Gartner has warned, some workers replaced by AI may have to be rehired by 2029, at higher cost, to recover lost skills.
No precise timetable has been given yet. What comes next will show how the group manages the transition and how much AI will affect the operating costs Squeri has named as priorities.
No comments yet. Be the first!