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AI Is Replacing Bankers: Goldman Sachs Plans More Layoffs

1 min read

10/14/2025

Goldman Sachs is preparing to trim its workforce again before the end of 2025, as part of a broader effort to rein in costs and capitalize on the growing efficiency of artificial intelligence.

In a staff memo sent Tuesday morning, the firm announced a “limited reduction in roles across the firm” and plans to “constrain headcount growth through the end of the year.” However, despite the layoffs, Goldman still expects to close the year with a higher overall headcount than it started with. As of the end of September, the bank employed about 48,300 people—roughly 1,800 more than at the end of last year.

AI Is Replacing Bankers: Goldman Sachs Plans More Layoffs

The move comes alongside the launch of Goldman’s new strategic initiative, OneGS 3.0, aimed at transforming operations using AI.

According to the memo, top executives—including CEO David Solomon, President John Waldron, and CFO Denis Coleman—described artificial intelligence as a powerful driver of long-term growth. They outlined plans to integrate AI more deeply into core functions like client onboarding, lending, regulatory reporting, and vendor management.

“While we are still in the early innings of identifying where AI can best be deployed, it’s increasingly clear that our operational efficiency goals must reflect the transformational gains AI can deliver,” the executives wrote. “To fully benefit from the promise of AI, we need greater speed and agility across all parts of our operations.”

The announcement follows a turbulent year for Goldman’s staffing. Earlier in 2025, the firm conducted its routine annual job cuts, leaving net headcount 700 lower by the end of Q2 than in the previous quarter. Despite these efforts, expenses remained a concern, especially after Goldman’s latest earnings report.

In Tuesday’s results, the bank reported higher costs but also a standout performance in investment banking—posting $2.66 billion in fees for the third quarter, outpacing many of its Wall Street competitors. Still, investors reacted cautiously, with Goldman shares slipping following the announcement.

As the firm doubles down on automation and tech-driven workflows, this latest round of job cuts signals a clear direction: fewer roles, but more focus on scalable, AI-enhanced operations.

Source: AI Is Replacing Bankers: Goldman Sachs Plans More Layoffs