Axis Bank Ltd. expects investments in AI and technology will help it expand without adding many staff, signaling slower hiring even as India’s third-largest private lender scales up its business.
“Our hope is that, at least to start with, there is no need to continue to increase the headcount at the same pace as before,” Chief Executive Officer Amitabh Chaudhry said in an interview with Bloomberg Television.
Axis Bank has already begun to see productivity gains from its technology push. The lender opened about 400 branches in fiscal 2026 even as its net headcount fell 3% from the previous year. Axis Bank had more than 101,000 employees at the end of the fiscal year ended in March.
Lenders globally have accelerated AI adoption and acknowledged its potential to reshape their workforces. Executives from JPMorgan Chase & Co., Citigroup Inc. and Standard Chartered Plc have warned that AI will eventually reduce the need for some roles while boosting productivity.
JPMorgan CEO Jamie Dimon said in December that the technology will eliminate jobs. Jane Fraser, Citigroup’s CEO, said some jobs will no longer be required, while Goldman Sachs Group Inc. President John Waldron referred to employees as a “human assembly line” ripe for automation.
Axis Bank is looking to combine technology, employee attrition and redeployment to support growth, Chaudhry said.
“I don’t think any employees will be let go,” aside from those who are underperforming, he said.
Axis Bank’s cost-to-assets ratio improved by 18 basis points during the last fiscal year, indicating the bank is generating more business with fewer employees relative to its asset base.
The lender may be able to keep headcount at roughly the same level, and still grow the business at a steady pace, the CEO said. The lender ranks behind private sector rivals such as HDFC Bank Ltd. and ICICI Bank Ltd. in terms of assets. The bank completed the acquisition of Citigroup’s consumer business in India in 2023.
With the advance of AI, new roles will emerge that are different from current ones, he said. Employees will need to pivot slightly and pick up these new technologies and platforms. If they do, it will improve their jobs and career prospects, he added.
Separately, Chaudhry said the large inflow of foreign currency deposits into Indian banks should be deployed within the next two to three quarters as credit growth accelerates in the country.