One Zero Bank Cuts 10% of Staff Amid AI Transformation

One Zero Bank is laying off approximately 10% of its workforce, as announced by CEO Eyal Gafni in a letter to employees on Sunday. The affected employees have already been summoned, while those not contacted are not part of this reduction.

Gafni stated that the decision is difficult, acknowledging the contributions of the departing employees who helped build the bank. He emphasized that the bank will provide support and assistance to those impacted. The primary driver for this restructuring is the transformative impact of artificial intelligence on how organizations operate, develop products, and serve customers.

The bank, built on modern technological infrastructure, data systems, and automation, is well-positioned to quickly integrate new AI capabilities. Gafni highlighted the bank's AI system, Ella, and existing automation tools that allow employees to focus on tasks requiring expertise, judgment, and human interaction. This technological shift necessitates an adjustment in the workforce structure to enable continued growth without a proportional increase in employee numbers and expenses.

These layoffs occur despite recent improvements in the bank's business metrics. One Zero recently surpassed 200,000 customers. In the first half of 2026, the bank reported a 33% increase in revenue, a 10% decrease in expenses, and a 27% reduction in losses. Management aims to further reduce costs and align the organizational structure with the bank's next growth phase, transitioning from its initial setup to expansion.

Increased competition in the financial services sector also contributes to this move. Gafni noted that the anticipated entry of new players and the expansion of existing financial institutions require the bank to become more agile and efficient. He stressed the preference for initiating these adjustments proactively from a position of strength rather than being forced to react to technological, competitive, or market changes.