Commonwealth Bank backflips on decision to replace | Australian Markets

Commonwealth Bank will reverse its controversial plan to cut dozens of jobs and replace them with an AI chatbot, admitting the transfer was a mistake.

Australia’s largest bank revealed final month that it might axe 45 call centre positions after rolling out an AI voicebot to deal with buyer queries.

But the bank has since backtracked, telling affected workers they might stay of their present roles or go for a voluntary redundancy payout.

The decision got here as CBA, regardless of insisting its voicebot had cut call volumes by 2000 a week, was compelled to concede that calls had risen, with managers resorting to additional time and crew leaders being pulled onto the telephones, the Australian Financial Review experiences.

A spokesperson for CBA stated the decision to cut 45 roles was an “error”.

“CBA’s initial assessment that the 45 roles in our Customer Service Direct business were not required did not adequately consider all relevant business considerations and this error meant the roles were not redundant,” the spokesperson stated.

“We have apologised to the employees concerned and acknowledge we should have been more thorough in our assessment of the roles required.

“We are currently supporting affected employees and have provided them with choice regarding continuing in their current roles, pursuing redeployment within CBA or to proceed with leaving the organisation.

The announcement coincided with the Labor Government’s Economic Reform Roundtable on Wednesday, when discussions shifted towards reviewing current AI regulations, which unions had been pushing for.

Finance Sector Union National Secretary Julia Angrisano hailed the reversal a “massive win” however pressured the ordeal had already taken a toll on employees’ wellbeing.

“The damage is already done for the 45 workers who endured weeks of unnecessary stress, not knowing if they would be able to pay bills or support their families,” she added.

“CBA has been caught out trying to dress up job cuts as innovation. Using AI as a cover for slashing secure jobs is a cynical cost-cutting exercise, and workers know it.

“CBA likes to talk about being a digital leader, but real leadership means investing in your people, not tossing them aside and blaming the technology.”

CBA stated they might review its inner course of to improve its method shifting ahead.