By December 2025, artificial intelligence had become a staple on Wall Street, moving beyond experimental projects to everyday operations. Bank executives at a recent Goldman Sachs conference in New York highlighted how AI, particularly generative AI, is boosting productivity across engineering, operations, and customer service. However, this shift also raises concerns about the future of jobs in the banking sector.
How Banks Are Benefiting from AI Today
Major banks are already seeing tangible benefits from AI adoption:
- JPMorgan: Marianne Lake, CEO of consumer and community banking, reported a 6% productivity increase in areas using AI, up from 3% before deployment. She expects operations roles to see gains of 40% to 50% as AI becomes routine.
- Wells Fargo: CEO Charlie Scharf noted that while headcount hasn’t been reduced yet, the bank is “getting a lot more done.” Management anticipates fewer people will be needed in some areas as productivity improves.
- PNC: CEO Bill Demchak sees AI as an accelerator for ongoing trends like automation and branch optimization, which have kept headcount stable despite business growth.
- Citigroup: Incoming CFO Gonzalo Luchetti cited a 9% productivity improvement in software development and better customer service through AI‑enhanced self‑service and real‑time agent support.
- Goldman Sachs: The bank’s “OneGS 3.0” program uses AI to streamline sales processes, client onboarding, and regulatory reporting, alongside job cuts and slower hiring.
Where AI Is Making the Biggest Impact
Early productivity gains from AI are most evident in tasks that involve documents, repeatable steps, and defined rules. Key areas include:
- Operations: Faster response drafting, case summarization, and exception resolution.
- Software Development: Code generation, testing, refactoring, and documentation.
- Customer Service: Enhanced self‑service options and real‑time support for agents.
- Sales and Onboarding: Faster data extraction from documents, form filling, and client setup.
- Regulatory Reporting: Quicker assembly of narratives and evidence, with strict oversight.
The Role of Governance in AI Adoption
While banks are eager to adopt AI, regulatory oversight is crucial. US regulators require strong governance for AI systems, similar to other models. Banks are focusing on designs that can be examined and traced, with humans overseeing high‑impact decisions like lending and dispute handling.
The Future of Jobs on Wall Street
The shift to AI is expected to happen in phases. Initially, banks will see higher output with stable headcounts. However, as productivity gains stabilize, staffing plans may change through attrition, role adjustments, or targeted cuts. Wells Fargo’s planning for a smaller workforce by 2026 suggests some banks are already preparing for this transition.
Broader studies, like those from the International Monetary Fund and the World Economic Forum, warn that AI could disrupt jobs worldwide, with varying impacts depending on the role and region.
Looking Ahead
Banks that maximize AI benefits will likely focus on redesigning workflows, building strong data foundations, and ensuring governance that maintains trust and security. With potential annual gains of $200 billion to $340 billion for the banking sector, the question is not whether AI will deliver results, but how quickly banks can integrate it while managing workforce changes and maintaining customer safeguards.
