Mizuho Financial Group has announced plans to replace approximately 5,000 administrative positions with artificial intelligence over the next ten years, as Japan's third-largest lender seeks to comprehensively enhance productivity through technological means.
In a statement, Mizuho said: "We plan to strengthen profitability by fully leveraging AI and transferring human resources to priority business areas." The bank also emphasized: "This is not a reduction in headcount." Affected employees will be reassigned to other roles.
This move comes as Japanese companies are actively expanding AI applications to improve operational efficiency, with Prime Minister Sanae Takaichi also positioning AI investment as a core element of her policy agenda. Under pressure from labor shortages, Japan's banking sector is widely seeking to advance AI transformation while minimizing large-scale layoffs.
Mizuho CEO Masahiro Kihara responded to concerns about AI replacing human labor last October, stating: "I don't believe humans will lose their value—they can move toward higher value-added work."
Japanese Banking Sector Accelerates AI Deployment Mizuho indicated that its core banking unit and other group companies currently have approximately 15,000 clerical positions, with plans to replace about 5,000 of them using AI within the next decade. The bank clearly stated that affected employees will be transferred to other positions rather than dismissed.
This human resource reallocation strategy reflects the cautious approach commonly adopted by Japanese companies in promoting automation—seeking to harness AI efficiency gains while intentionally avoiding labor relation risks associated with mass layoffs.
Major Japanese banks are accelerating AI adoption. According to a previous Bloomberg report, Mitsubishi UFJ Financial Group has partnered with OpenAI to speed up AI implementation in banking services. At the policy level, the Takaichi administration similarly views AI investment as a crucial lever for enhancing economic competitiveness.
Facing structural challenges from persistent labor shortages, Japanese banking executives are actively addressing market concerns about AI replacing jobs. Public statements from bank leaders like Masahiro Kihara aim to signal to employees and regulators that AI serves to empower rather than replace human workers.
Globally, banking sector enthusiasm for AI investment continues to grow, with applications spanning from product development to risk management. JPMorgan Chase invests approximately $2 billion annually in AI technology development, which the bank says generates equivalent annual cost savings, creating a significant input-output cycle.
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