Samaya Dharmaraj
May 14, 2025
The banking sector is undergoing a significant transformation, with digitalisation playing a central role in reshaping operations, services and workforce dynamics. As the banking sector embraces digital transformation, the need to upskill and retrain employees has become more important than ever.
VietinBank, one of the four largest State-owned commercial banks in Vietnam, is leading the way by streamlining its operations to improve cost management and efficiency. In 2025, the bank plans to reduce the number of its transaction branches, a move aimed at modernising its operations while maintaining high standards of service. This change will not only enhance customer experiences but also allow the bank to focus more on its digital services.
In tandem with these physical branch reductions, VietinBank is advancing its digital transformation programme. The bank has already implemented 108 key initiatives in the first phase of its transformation, with about 60-70% of its products now available on digital channels.
Additionally, 99% of the bank’s transactions are processed digitally, showcasing its commitment to embracing cutting-edge technology to improve both efficiency and customer satisfaction. This shift is part of a broader trend across the banking sector, as more banks focus on leveraging digital platforms to streamline their services and reduce operational costs.
Many banks are embracing similar strategies, including reducing the number of headquarters units, increasing supervision and optimising operations for greater efficiency. Workforce reductions are part of broader restructuring efforts. While these changes may initially lead to job losses, they also create new opportunities for employees willing to adapt to the evolving landscape.
The reduction in workforce within these banks is primarily driven by the adoption of digital technology and the restructuring of operating models. As information technology continues to advance, certain traditional roles become redundant and banks need to streamline their operations to stay competitive.
However, this shift does not necessarily equate to a negative outlook for the workforce. Instead, it highlights the growing importance of upskilling and retraining employees to ensure they remain valuable in an increasingly digital world.
The rise of artificial intelligence (AI) and automation in banking tasks – from administrative work to customer service and data analysis – requires employees to develop new skills to meet the demands of this rapidly evolving sector.
Experts agree that the banking industry will continue to reduce its workforce in the short term as AI and other technological advancements take over many routine tasks. However, this trend also presents an exciting opportunity for employees to reinvent their careers.
As banks implement digital and AI-driven systems, employees can play a critical role in overseeing, managing and enhancing these technologies. In particular, strategic roles in areas such as AI oversight, customer experience design, data analytics and digital product management will become even more valuable.
To support this transformation, banks are investing heavily in training programmes aimed at upskilling their workforce. These programmes are designed to help employees acquire the skills needed to navigate the digital future of banking.
With the growing demand for tech-savvy professionals, banks are rethinking their recruitment strategies and employee retention policies to attract and keep the talent that is essential for driving their digital agendas.
Ultimately, the ongoing digital transformation of the banking sector presents both challenges and opportunities. While some traditional roles may be displaced by automation, there is a clear focus on preparing employees for the future of work. Embracing continuous learning and upskilling will help secure a place in the evolving financial services industry and shape the future of banking.
As the sector evolves, the emphasis on innovation, efficiency and customer-centric services will open up new career paths, ensuring that the workforce remains at the heart of the digital transformation.
