Wells Fargo is planning to cut up to 26,500 jobs over the next three years as it gets to grips with the rise of digital banking and the fallout from a host of expensive scandals.
The American bank's CEO Tim Sloan used a town hall event to tell its 265,000-strong workforce between five per cent and 10% of them are set to lose their jobs over the next three years through a mix of layoffs and natural attrition.
Wells Fargo put some of the blame for the news on the "accelerating adoption of digital self-service capabilities". The bank has already committed to closing around 900 branches by 2020.
However, the job cuts also come at a time when the firm is facing huge costs thanks to regulatory fines and legal expenses related to scandals, most notably the 2016 fake accounts outrage.
Responding to the consumer abuse problems, the Federal Reserve has placed an asset cap on the bank, hitting revenues. In the second quarter, Wells posted lower year-on-year revenues.