HDFC Bank, India's largest private lender, has reduced its workforce by 3,343 employees in the last financial year as part of an aggressive automation initiative.The bank's total staff decreased to 211,178 by March 31, with non-supervisory roles dropping by over 8,000.This shift reflects a focus on streamlining operations and redeploying staff to customer-facing functions.While shares initially fell by 1.7%, they later recovered slightly.Experts note the stock's volatility due to foreign investor selling and market conditions.The move aligns with global trends of AI adoption in banking, though concerns about job displacement persist.

The bank also faces ongoing scrutiny from governance issues following its chairman's abrupt resignation, which triggered a significant drop in market value.