Mizuho(MFG.US) Announces "AI Replacement" Plan: Cut 5,000 Administrative Positions in Ten Years

The China Financial APP has learned that Mizuho Financial Group (MFG.US) is planning to replace approximately 5,000 administrative positions within Japan over the next decade using artificial intelligence. This Japanese third-largest bank aims to improve operational efficiency through this initiative.

Mizuho stated in a release, “We plan to fully utilize AI technology to reallocate human resources to key business areas to enhance profitability. This is not a layoff.”

To boost efficiency, Japanese companies have been increasing their AI applications in recent years, with investments in this area becoming a key part of Prime Minister Sanae Suga’s policy agenda. In the banking sector, institutions are seeking to advance AI plans in a way that minimizes large-scale layoffs amid labor shortages.

According to Mizuho, its core banking division and other group subsidiaries currently have about 15,000 administrative positions, and affected employees will be reassigned to other roles.

Global banks are investing heavily in applying AI across various functions, from product development to risk management. JPMorgan Chase invests about $2 billion annually in AI technology development, claiming that this investment also saves an equivalent amount in costs each year.

Japanese banking executives have been working to ease concerns that AI will replace jobs. Mizuho CEO Masahiro Kihara said last October, “I don’t believe humans will lose value; employees can focus on higher value-added work.”