American Express to Cut 5% of Staff in AI-Driven Restructuring
Amex announced a 5% workforce reduction alongside a $336M restructuring charge as CEO Stephen Squeri cited AI preparation as the driving force.
American Express is laying off approximately 5% of its global workforce as part of a sweeping restructuring effort the company says is designed to position it for an artificial intelligence-driven future, CEO Stephen Squeri announced Friday.
The move coincided with the release of American Express's third-quarter financial results. The company is absorbing a $336 million restructuring charge in the quarter to account for the costs associated with the workforce reduction.
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Squeri framed the cuts as a forward-looking investment rather than a cost-saving retreat, signaling that the financial services giant intends to realign its human capital strategy around emerging AI capabilities. The decision reflects a broader pattern across corporate America, where large employers are restructuring headcount as automation and AI tools take on tasks previously handled by employees.
American Express employs tens of thousands of workers worldwide across its card services, travel, and corporate payment divisions, meaning a 5% reduction represents a significant reduction in absolute terms. The restructuring charge will weigh on the company's quarterly earnings, though management has presented the move as a strategic pivot rather than a sign of financial stress.
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