Norway’s biggest bank DNB will lay off around 400 employees. The cuts will hit its Technology and Services unit. The bank announced the decision on Tuesday.

It cited increased investment in AI agents and digital solutions. The bank has adopted AI agents to replace tasks once done manually. The changes have reshaped the organisation.

CEO Kjerstin Braathen said AI was changing how the bank works. “AI is changing the way we work and how we deliver services to our customers,” she said. She called it “a new reality.”

The job cuts are expected to finish in the last three months of 2026. The costs will be booked in the second quarter of 2027. DNB shares rose 1% after the announcement.

The move fits a wider trend. Banks across Europe are cutting jobs as AI takes over routine work. Morgan Stanley has said European banks could cut up to 20% of staff over five years.

Danske Bank has also signalled further cuts as it widens AI use. The debate over AI and jobs continues to grow across the financial sector. Workers and unions are watching closely.