AI Job Cuts: American Express and Barclays Cut About 5% of Staff

American Express and Barclays have each announced plans to cut about 5% of their workforces, with both companies pointing to automation and artificial intelligence as they reshape their operations. The announcements, made on 22 and 23 October 2026, came in the same week that Volvo Cars said it would cut 2,500 jobs, adding to a run of large corporate job reductions.

The cuts come even as both financial companies reported strong results, highlighting how firms are using AI to restructure even in good times, not only when profits fall.

How Many Jobs Is American Express Cutting?

American Express is eliminating about 5% of its global workforce and taking a $336 million restructuring charge, chief executive Stephen Squeri told analysts on the company’s third-quarter earnings call on Friday, 23 October, CNBC reported. The company had almost 77,000 employees at the end of 2025, which suggests roughly 3,500 roles could be affected.

Chief financial officer Christophe Le Caillec told CNBC the restructuring was intended to make the company “leaner, more agile, and also to prepare for AI”. He added: “You don’t want to automate processes that are not optimally structured. So what we’re doing here is to reduce layers and increase spans of controls, so that we can automate and take advantage of AI in the coming quarters and the coming years.”

Amex beat profit forecasts, with adjusted earnings of $4.68 a share, and raised its full-year earnings guidance. Revenue rose 9% to $20.06 billion.

Why Is Barclays Cutting 5,000 Jobs?

Barclays said on Thursday, 22 October, that it expects to reduce its workforce by about 5,000 full-time roles as part of plans to save more than £1.1bn in 2027, The Guardian reported. Chief financial officer Anna Cross said: “Around 60% of the group actions relate to support functions, including fewer developers, as AI makes our people more productive.”

Chief executive C.S. Venkatakrishnan said most efficiency gains so far had come from “deep investments” in technology and simpler processes, describing AI as the “icing on the cake”. The bank reported pre-tax profits of £2.3bn for July to September, up 12% on a year earlier.

Sharon Graham, general secretary of the Unite union, criticised the move: “The company is using AI as an excuse to discard its loyal and long-suffering workforce. Employers should be focused on upgrading employees’ skills so that they remain employed as new technology changes the workplace.”

Are Other Companies Cutting Jobs Too?

Volvo Cars said on Friday it plans to cut 2,500 jobs after a sharp decline in China weighed on its third-quarter earnings, according to CNBC. Its revenues in China fell almost 50% year on year, and its shares closed 24% lower. Unlike the bank and card company cuts, Volvo’s reductions are driven mainly by market conditions rather than AI.

• American Express: about 5% of staff, $336m restructuring charge.
• Barclays: about 5,000 roles, mostly support functions.
• Volvo Cars: about 2,500 roles after a slump in China.
• Common theme: cost cutting and automation despite strong profits at the two financial firms.

These follow other recent announcements we have covered, including National Australia Bank’s 2,500 job cuts and EA’s job cuts at BioWare.

What Does This Mean for Workers?

Support, operations and software development roles appear most exposed in these plans, while companies say AI will make remaining staff more productive. For employees in banking and financial services, building skills in data, automation tools and customer-facing roles may help, as will keeping a current CV ready.

If you are job hunting, our guides on CV vs résumé and finding legitimate remote jobs can help. For the wider UK picture, see our report on UK unemployment and vacancies.

Featured image: entrance to the American Express Centurion Lounge at JFK Airport, New York, by PerpetualTraveler / Wikimedia Commons, CC BY-SA 4.0.

Sources

• CNBC — American Express is cutting 5% of its workforce to ‘prepare for AI’ (23 October 2026).
• The Guardian — Barclays to cut 5,000 jobs as bank’s bosses hail AI productivity advances (22 October 2026).
• CNBC — Volvo Cars stock falls 24% amid China, U.S. slump and fresh job cuts (23 October 2026).