American Express plans to cut about 5% of global workforce in AI restructuring
AmEx says the planned cuts and $336 million charge will simplify operations before it automates more internal work with AI.
By Frankie Delgado · News Reporter
2 min read
American Express 5% job cuts are planned as part of a restructuring that the card company says will prepare its operations for wider use of artificial intelligence. Chief executive Stephen Squeri told analysts on Oct. 23 that the plan is expected to eliminate about 5% of AmEx’s global workforce and carries a $336 million third-quarter restructuring charge.
Reuters independently reported the workforce reduction and attributed the announcement to Squeri’s post-earnings call. American Express had nearly 77,000 employees at the end of 2025, CNBC reported, though the company did not give a definitive total number of jobs affected.
Why is American Express cutting about 5% of its workforce?
Chief financial officer Christophe Le Caillec told CNBC the company wants to simplify its structure before expanding automation. He said AmEx intends to reduce management layers and broaden managers’ oversight, allowing it to redesign processes before using AI in the coming quarters and years.
The distinction matters: AmEx has said it is restructuring to get ready for more automation, rather than saying AI has already replaced the workers whose positions are expected to be eliminated.
Squeri said the company was seeking greater efficiency and agility so it could accelerate innovation over the next several years. Banking Dive reported that he also described the effort as a way to streamline operations, raise productivity and speed decision-making.
What AmEx has disclosed, and what remains unclear
- The company expects the plan to remove about 5% of its worldwide workforce, according to Squeri and Reuters.
- AmEx recorded a $336 million restructuring charge in the third quarter, CNBC reported.
- The company has not disclosed the affected job categories, countries, business units, severance terms or a timetable for completing the reductions in the reports reviewed.
- Banking Dive reported that an AmEx spokesperson put the reduction at about 3,500 positions, or nearly 4.5% of roughly 78,000 workers. That differs from the approximately 5% figure reported by CNBC and Reuters, so the exact headcount remains unsettled.
AI was a major topic on AmEx’s earnings call beyond the internal restructuring. Squeri discussed using it to tailor offers and experiences for cardholders. He also said outside AI agents would be permitted to connect to AmEx systems only through approved API or MCP channels, which are methods for connecting software systems.
The workforce announcement came alongside better-than-expected quarterly profit. AmEx reported adjusted earnings of $4.68 a share, above the $4.48 analyst estimate tracked by LSEG, CNBC reported. Revenue rose 9% from a year earlier to $20.06 billion, slightly below the $20.12 billion consensus forecast. The company also lifted its full-year earnings outlook to $18.30 to $18.60 a share from a prior range of $17.30 to $17.90.
This story draws on original reporting from CNBC.