The chief executive of Standard Chartered, Bill Winters, has issued an apology after referring to employees whose jobs are at risk from artificial intelligence as "lower value human capital". The remarks were made during a recent investors conference where Winters discussed the bank's automation plans.
Controversial Remarks at Conference
Speaking at the event, Winters stated that automation would likely lead to thousands of job cuts, emphasizing that the move was not about cost-cutting but rather "replacing, in some cases, lower value, human capital, with the financial capital and the investment capital that we're putting in." The comments quickly drew criticism, prompting Winters to clarify his stance.
Apology and Clarification
In a LinkedIn post, Winters expressed regret for his choice of words, acknowledging they had "caused upset to some colleagues." He reiterated his commitment to helping staff "cope with the accelerating pace of change." The bank, headquartered in the UK and employing around 82,000 people, expects to cut approximately 7,800 back-office roles over the next four years.
Industry Context
The rise of AI tools has led to predictions of significant job losses, particularly for tech workers and graduates. Major companies like Amazon, Meta, and Microsoft, along with financial services firms, have attributed tens of thousands of layoffs to AI in the past year.
Internal Communication
In an internal memo seen by the BBC, Winters told staff he understood that media coverage could be "unsettling when reduced to simple headlines or a quote out of context." He assured employees that the bank would prioritize redeployment "wherever we can" and handle changes "with thought and care."
Public Reaction
Despite his apology, some social media users remained critical. One commenter noted, "You will forever be known as the guy who believes his employees are 'lower value'." Another questioned whether the remarks were a poor choice of words or an honest belief.
Winters emphasized that his full remarks showed he valued all colleagues "most highly" and was committed to helping them adapt to industry changes.
