American Express announced plans to reduce its global workforce by 5% and absorb a $336 million restructuring charge as part of a strategic reorganization effort. The company, which employed approximately 77,000 workers at the end of 2025, disclosed the initiative during its third-quarter earnings call. CEO Stephen Squeri characterized the move as necessary to position the organization for accelerated innovation and competitive advantage in the coming years.
Chief Financial Officer Christophe Le Caillec explained that the restructuring aims to make American Express “leaner, more agile, and also to prepare for AI.” The financial services firm plans to reduce organizational layers and expand management spans of control to optimize existing processes before implementing automation technologies. Le Caillec noted that automating poorly structured workflows would be counterproductive, making the preliminary restructuring essential for effective AI integration.
The card issuer’s restructuring reflects broader industry trends within financial services, where institutions are increasingly replacing repetitive job functions with AI-driven automation. Barclays announced similar workforce reductions of approximately 5% earlier in the week as part of a technology-focused cost management initiative. These announcements come despite robust profitability across the sector, driven by strong consumer spending and stable credit performance.
During prepared remarks, Squeri devoted considerable attention to artificial intelligence strategy, emphasizing its role in personalizing customer experiences and offers. He stressed that while American Express recognizes customer demand for AI agents and assistants, the company would implement strict security protocols to prevent unauthorized system access. The firm stated it would only permit external agents to connect through approved API or MCP channels to protect customers and merchants.
American Express reported third-quarter earnings that exceeded Wall Street expectations, with adjusted earnings per share reaching $4.68 against an analyst consensus of $4.48. The company raised its full-year earnings guidance to a range of $18.30 to $18.60 per share on an unadjusted basis, revising upward from previous guidance of $17.30 to $17.90. Total revenue increased 9% to $20.06 billion, slightly missing forecasts. Stock shares declined approximately 4% following the announcement.
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