Archive · 20 Jul 2026

India's Top Banks Reduce Workforce Amid Tech Investments

India's Top Banks Reduce Workforce Amid Tech Investments

India's top three private sector banks—ICICI Bank, HDFC Bank, and Axis Bank—have reduced their workforce in the financial year 2026.

This reduction is due to a combination of factors, including investments in new technologies like AI, digital infrastructure, and normal annual attrition.

ICICI Bank's permanent workforce decreased by 5,148 employees, while HDFC Bank saw a reduction of 3,343 employees.

Axis Bank reported a total employee count of over 1.01 lakh in FY26.

The banks are focusing on improving productivity and redeploying talent to customer-facing roles.

They are also leveraging technology to enhance service quality and efficiency.

The attrition rates at these banks range from 18-20%, and they are strategically deciding not to backfill all positions.

The Boston Consulting Group reported that with mature AI deployment, 35-40% of current low-value activities can be automated, further enhancing efficiency.

Sources