CBA cuts 45 jobs in Australia as AI chatbot replaces call center staff
SYDNEY, AUSTRALIA — Commonwealth Bank of Australia (CBA) has eliminated 45 customer service roles after deploying an AI chatbot to handle inquiries, marking the first time an Australian bank has directly linked job cuts to automation.
Australia’s ABC News reports that while CBA insists affected employees will be retrained or redeployed, the Finance Sector Union condemns the move as “outrageous,” accusing the bank of simultaneously offshoring jobs to India.
AI adoption drives job cuts, sparks union backlash
The bank emphasized redeployment efforts, citing 670 open roles and 9,000 hires in the past year. Still, Finance Sector Union (FSU) National Secretary Julia Angrisano lambasted the decision but argued that “workers want a tech-savvy bank, but they expect to be part of the change, not replaced by it.”
The dispute highlights growing tensions as AI disrupts traditional roles, with a CSIRO report noting 68% of Australian businesses now use AI, often at the expense of customer service jobs.
The FSU alleges CBA is offshoring roles to India—a claim the bank denies—while cutting local positions. Angrisano pointed to ongoing legal action over earlier offshoring as evidence of a broader pattern.
CBA, meanwhile, frames AI as a tool to free staff for complex tasks, stating, “Our investment in technology, including AI, is making it easier and faster for customers to get help, especially in our call [centers]. By automating simple queries, our teams can focus on more complex customer queries that need empathy and experience.”
AI’s double-edged sword: Efficiency vs. employment
CBA’s chatbot rollout reflects a global trend where AI boosts efficiency but displaces workers. The bank reported a 6% profit rise to $5.1 billion in February, underscoring the financial incentive to automate.
Economists note AI creates new jobs, yet displaced workers often lack pathways to these roles, leaving retraining programs under scrutiny.
A CBA spokesperson said, “We’re also proactively creating new roles to support career growth and help our people transition into future-fit opportunities.”
The debate extends beyond CBA, with the FSU warning that other banks may follow suit. Angrisano emphasizes that automation cannot replace human work; instead, it should be used in collaboration with human resources. CBA asserts that its approach combines innovation with employee support.
As AI adoption accelerates, the clash between corporate efficiency and workforce protection will likely intensify.
Human touch in customer service
While AI is transforming customer service by handling routine tasks, call centers will still be relevant in the provision of empathy and complex problem-solving that machines cannot imitate.
Industry leaders emphasize that AI should augment—not replace—human agents, allowing them to focus on high-value interactions.
The future lies in a hybrid model where AI enhances efficiency while skilled agents provide the irreplaceable human touch.
