A CHANGE in the nature of jobs or a position being made obsolete due to digitalisation and automation in the banking industry does not necessarily mean that it will translate into job losses, said the Malayan Commercial Banks’ Association (MCBA).

“When the nature of jobs is changed or even eliminated, it does not necessarily mean ‘job loss’ as one may claim. It has always been the focus of our member banks to reskill and upskill employees so that they can take on new tasks and challenges,” MCBA executive director Y.Y. Lam told The Malaysian Insight.

“This is the reason why banks are spending significant amount of money and resources to support this initiative. Therefore, in this context, the question of retrenchment and lay-off do not arise.”

Lam said technological evolution will continue to affect jobs as it did in the past.

He said this when asked to explain MCBA’s remarks as published in Suara Nube, the monthly newsletter of the National Union of Bank Employees (Nube), that banks will have to move towards digitalisation and automation.

As a result, jobs could be eliminated or changed in nature.

The banking association was responding to Nube’s question on its stand on the dual threat that might affect some 30,000 banking staff.

Lam explained that MCBA has given a general introductory statement when Nube sought its views on the impacts of digitalisation.

“Change is constant and history has consistently proven that those who fail to adapt will perish over time.

“Digitalisation is a global trend and affects many businesses and industries, banking included. In the process of this change, it is inevitable that some existing jobs may be eliminated or changed, while new jobs that require related or different skill sets may be created,” read the statement by MCBA to Nube.

Meanwhile, in another article in Suara Nube, the association’s general secretary J. Solomon was quoted as saying that digitalisation and automation are being used by banks to lay off workers.

The Malaysian Insight’s attempts to reach Solomon was unsuccessful. – September 11, 2019.