Israeli Bank ONE ZERO Lays Off 10% of Staff Due to AI Advancements

ONE ZERO Bank announced on Sunday that it will be laying off approximately 10% of its workforce. Employees selected for termination have already been summoned for meetings, while the remaining staff were informed they are not expected to be affected by the current measures. In an internal letter to employees, Bank CEO Eyal Gafni explained that the rapid development of artificial intelligence tools necessitates a change in the bank's operational methods. He stated that generative AI tools are transforming how companies manage processes, deliver services, and develop new solutions. Gafni noted that the bank's digital infrastructure, built on advanced information systems and automation, allows for rapid adoption of new technologies and adaptation of its workforce to changing needs. He also addressed the departing employees, acknowledging their contribution to the bank's establishment and growth, and assured them of support during their transition period. This move by ONE ZERO follows similar reports of large companies implementing significant layoffs due to AI in the past summer. In August, it was reported that LinkedIn's development center in Israel was expected to close, leading to the dismissal of most of its employees. In May, the call identification giant Truecaller also decided to close its development center in Israel and lay off all its staff.