BDO Unibank has ruled out AI-driven job cuts, its CEO Nestor Tan told The Banker.

Tan said the Philippines’ largest bank expects hiring to slow as AI adoption deepens, even as global peers including HSBC and Standard Chartered weigh cutting thousands of roles over the coming years.

According to Tan, the bank’s AI rollout is affecting recruitment more than existing headcount, with hiring pace easing rather than staff numbers falling.

He said cutting jobs was not part of BDO’s plans, even as the bank has had to widen its search for AI talent beyond Asia, approaching candidates in the US and Europe who would need to relocate to the Philippines.

The comments follow BSP governor Eli Remolona’s push for local banks to make fuller use of AI across their operations.

Central bank research from 2024 found that 44% of Philippine lenders had deployed at least one AI model, part of a shift Fintech News Philippines has tracked as the central bank studies the safe use of generative AI in banking.

BDO currently runs ten AI applications, split evenly between operations and technology. The bank is focused on value creation rather than cost-cutting, Tan said, and AI “will make our average performers exceptional.”

The bank also applies AI to wealth advisory and credit reviews. In credit applications, it now flags common issues so reviewers can focus on more detailed assessment, cutting review times from about half a day to a few minutes.

Tan said the shift has elevated staff roles rather than replaced them, framing the productivity gains as a way to support the Philippines’ continued economic growth rather than to shrink the workforce.

Featured image: Edited by Fintech News Philippines based on an image by atharbashir via Magnific.