Digital Banking Is Putting Bank Tellers Out Of Jobs

Bank tellers have been around for more than two centuries, but are not immune to the effects of technological change – which is why in recent years, their numbers have been declining steadily. While some people are concerned that this trend will put bank tellers out of work, others believe that digital banking is actually helping these employees keep their jobs longer by making them more efficient at what they do.

The Number Of Bank Tellers Has Been Declining For Years

The number of bank tellers has been declining for years. In the 1990s, more than 300,000 people were working as bank tellers in the United States. Today, that number is down to about 200,000–a decline of almost 40%. And it’s expected to keep falling – by 2020 it’s projected that there’ll be about 180k tellers left; by 2030 perhaps as few as 120k.

Automation In Banking Is A Key Reason Why

Automation has been a part of many industries for decades, but it’s only recently become widespread in the banking industry. The technology that makes the digital mode of banking possible – including ATMs, online bill payments, and mobile apps – allows banks to do more with fewer employees.

Nowadays, bank tellers are being replaced by automated teller machines (ATMs), which have already reduced the need for human labor in this sector by about 40 percent since 1990 according to a recent financial report.

But Not All Bank Job Losses Can Be Blamed On Advanced Technology

You might be surprised to learn that not all job losses in banks can be blamed on technology. In fact, some bank jobs are being outsourced to other countries and automated. Mergers and acquisitions also play a role in reducing the number of bank tellers in the banking sector.

No Need To Worry About Technology Replacing Human Bank Employees

Some people are worried that the next step will be self-service bank kiosks replacing bank employees altogether. Those who think that technology in banking is a good thing say that it will save money and allow banks to cut costs, but others think it’s a bad idea because it will lead to fewer jobs for workers in the banking industry.

Some of these people believe that banks should have some human interaction with their customers, while others feel comfortable using self-service kiosks because they don’t mind doing things on their own. It’s likely that we’ll see a mixture of both technologies being used at different times and places within banking institutions around the world as we move forward into digital banking territory.