{
  "id": 16198934,
  "title": "Amex to slash 5% of headcount as CEO seeks to reduce expenses",
  "url": "https://urgent.news/2026/10/23/amex-to-slash-5-of-headcount-as-ceo-seeks-to-reduce-expenses",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-23T14:10:00.000Z",
  "source": {
    "name": "Straits Times Business",
    "slug": "straits-times-business",
    "url": "https://www.straitstimes.com/business/amex-to-slash-5-of-headcount-as-ceo-seeks-to-reduce-expenses"
  },
  "original_language": "en",
  "account": "American Express is reducing its workforce by 5% globally due to CEO Steve Squeri's efforts to control the company's increasing costs. This change will impact approximately 3,500 jobs out of the company's 78,000 employees. Financial institutions have been downsizing in recent months, with some attributing the cuts to the growing use of artificial intelligence. Barclays announced plans to eliminate 5,000 positions, HSBC is reducing jobs at its British wealth-management business, and Citigroup has also been trimming its workforce. Squeri stated that the cuts are aimed at making the company more agile and efficient, streamlining operations, and expediting decision-making. The workforce reductions were disclosed after Amex reported third-quarter earnings that exceeded expectations, with adjusted earnings per share of $4.68, surpassing the average analyst estimate of $4.49. The company also increased its full-year earnings guidance, projecting earnings per share to range between $18.30 and $18.60 in 2026. However, billed business, which encompasses transactions on credit cards and other products, fell short of estimates, totaling $454 billion in the third quarter, compared to the $456.9 billion average estimate. Amex exited certain small-business co-brand deals, which impacted results. The slower growth in billed business is likely a modest disappointment, according to Truist Securities analysts, including Brian Foran. Despite the mixed details, the company's earnings beat and full-year guidance raise are seen positively. The company's results were also influenced by the sale of its equity interest in Global Business Travel Group, resulting in a $751 million after-tax gain, which was used to finance a $253 million after-tax restructuring charge tied to efficiency initiatives. Squeri highlighted continued business momentum, citing strength in billings, new acquisitions, and card member retention, as well as excellent credit quality. The New York-based firm reported a 9% increase in expenses to $14.5 billion in the third quarter, slightly below the $14.8 billion estimate. Amex is also expanding its card offerings, adding new perks to its Platinum card, and partnering with Airbnb to allow luxury rentals to count toward annual lodging credits. The company faces a $350 million fine for anti-money-laundering violations, but Amex stated that the penalty will not affect its full-year 2026 guidance or 2027 outlook.",
  "summary": "The move will affect about 3,500 jobs.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}