Wells Fargo has indicated that its workforce is expected to continue shrinking as the bank expands its investments in artificial intelligence (AI) and technology to improve operational efficiency. While overall headcount is likely to decline, the company said it will continue hiring for strategic roles that support business growth and digital transformation.
Speaking during the bank’s second-quarter earnings call, Mike Santomassimo, Chief Financial Officer, said advancements in AI and technology are enabling Wells Fargo to operate more efficiently with a leaner workforce. He noted that productivity improvements driven by technology are being realised at a faster pace than in previous years.
The US banking major has now reduced its workforce for 24 consecutive quarters. At the end of the second quarter, Wells Fargo employed approximately 197,000 people, representing a reduction of nearly 79,000 employees over the past six years. Compared with the same period last year, the bank’s workforce declined by around 15,000 employees, while headcount fell by about 3,500 from the previous quarter.
Despite the continued reduction in overall staffing, Wells Fargo is actively recruiting for key business and technology positions. The bank is hiring branch bankers, commercial banking relationship managers, investment advisers, investment bankers, and trading professionals, particularly in strategic growth markets. It is also expanding teams focused on technology, cybersecurity, and AI-related functions to strengthen its digital capabilities and support future innovation.
The workforce update accompanied the bank’s strong financial performance for the quarter ended 30 June. Wells Fargo reported a 20% increase in banking revenue, while commercial banking revenue grew 6%, supported by higher lending activity and deposit growth. Its consumer banking businesses also recorded improvements in credit card accounts, auto lending, and wealth management.
Wells Fargo’s strategy reflects a broader trend across the global banking industry, where financial institutions are using AI and automation to enhance productivity and streamline operations, while continuing to invest in skilled professionals in technology, cybersecurity, and customer-facing roles that are essential for long-term growth.
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