Axis Bank reported a reduction of around 3,000 employees in FY26, with its total workforce declining to approximately 1.01 lakh from around 1.04 lakh in the previous year. The change reflects the impact of ongoing investments in technology that have improved operational efficiency and reduced reliance on manual processes.
The bank has been strengthening its digital infrastructure through automation and process optimisation, enabling faster turnaround times and more streamlined operations. These improvements have allowed the organisation to manage scale without a corresponding increase in workforce.
Despite the decline in headcount, Axis Bank continued to expand its branch network during the year, indicating that growth is being supported through productivity gains rather than additional hiring. The focus remains on improving efficiency across customer-facing and backend functions.
As per the reports, technology adoption has primarily been aimed at enhancing processes and service delivery. While automation has reduced the need for certain roles, the bank’s use of advanced tools remains centred on operational support rather than direct workforce replacement.
The development reflects a broader shift in the banking sector, where institutions are increasingly aligning workforce structures with digital capabilities, focusing on efficiency, cost management and long term scalability.
Subrat Mohanty, Executive Director at Axis Bank, said “The trend of headcount optimisation continues because the investments that we have made in technology over the years are starting to give us benefits in terms of productivity gains”
“The technology investments have been fairly consistent over the last three to four years. They have been between 9% to 10% of our operating expenditure. And we have never shied away from technology investment at any time, whether the cycle was good or not so good, because we were building technology as a long-term strategic edge,” Mohanty added
