VIDEO: Commonwealth Bank prepares for the AI revolutionSarah Ferguson7.3019h ago19 hours agoWed 25 Feb 2026 at 9:11amHas Video Duration: 10 minutes 56 seconds.Watch 10m Commonwealth Bank announces massive job cutsShare optionsFacebookLinkedInX (formerly Twitter)TranscriptSARAH FERGUSON, PRESENTER: Now, Australia's largest bank is readying itself for an AI future, announcing a $90 million program help staff prepare for the changing workplace. The bank also announced yesterday it will cut 300 jobs. Commonwealth Bank CEO Matt Comyn joins me now. Welcome to 7.30.MATT COMYN, CEO, COMMONWEALTH BANK:  Great to be with you, Sarah.SARAH FERGUSON:  Now on jobs and AI, what jobs at the Commonwealth Bank are immune from replacement?MATT COMYN:  Well, I think the way that we're thinking about it, and you mentioned it in the introduction, is we're trying to really understand and redesign how skills are developed inside CBA and also how we think careers will evolve. We recognise there's a lot of uncertainty around AI and we're trying to replace that with transparency and opportunity and simply put, it enables us to, for every role inside the bank, separate what the tasks are within that role, what the current skills are that we think that individual has.We enable them to build additional skills and also to be able to see other roles that match to their current role, so that they can have some more control, agency, and autonomy, versus I think and hopefully replacing that sense of uncertainty and I think that's perfectly understandable that people would have that on their mind.SARAH FERGUSON:  Can you imagine a time in the future human managers are redundant in bank the size of yours?MATT COMYN:  I cannot. I mean there's many parts of technology that we're currently using, but the reality is we will be accountable as in the humans will be accountable for the decisions that we make inside the company. And sometimes even when I talk about sort of tasks and roles, perhaps that's a little abstract. I mean, if I may, if I think about a role like yours, there's a number of different tasks associated with that, thinking about what is in the public interest...SARAH FERGUSON:  I'm really going to enjoy your version of my job. Go, go, go, go Matt Comyn, go.MATT COMYN:  Thinking about what sort of background research, policies, trying to synthesise that frame ...SARAH FERGUSON:  So you think you could imagine replacing me?MATT COMYN:  No, no and so this is part of it. So most of those steps certainly could be augmented with AI but actually what you are doing right now is you're applying critical thinking...SARAH FERGUSON:  You would hope, audience.MATT COMYN:  You're reading my tone and body language and reacting to what I'm saying, and also there's another dimension to this as well because this is inherently a very human activity. I can't imagine ever being interviewed by an AI agent or bot. Frankly I don't think anyone would like to watch that either. And so, I do think across just about every industry there will be, it's quite jagged and uneven. I think it's highly uncertain. I think some of the predictions are probably both wildly inaccurate, and unhelpful. SARAH FERGUSON:  How high up the chain do you think AI could go? Could you end up in a situation where you have a narrow band of human managers, and a very large bank run by AI agents?MATT COMYN:  Well, I mean, look, I think if in the last 12 months, the model capability has improved a lot. It's getting better at reasoning, it's more accurate. Obviously, we need to have very clear insights into explainability, transparency. But I mean, if I think about my leadership team. We are all using AI in some respects, or in some tasks. I expect that many things will be done more efficiently.SARAH FERGUSON:  I guess the bigger question if I may at the moment for people, is as you say, it is the fear around replacement. We understand, well, we partially understand the add-on capabilities and potential, but in terms of replacement, how high up the chain of thinking do you think AI could go? In the end, leaving only a small band of humans. Is it conceivable to you?MATT COMYN:  I mean, I think many things are conceivable over a long enough period of time. When you think about the next six or 12 months, because of the uncertainty, that's an easier forecast. The further we go out, the much greater the width of the cone of uncertainty and so I just think we better see how this technology evolves. There are sceptics also from a technical perspective, who would say the current architecture of the technology won't support human-like reasoning. I mean there are many things that humans can do that currently the technology can't do, but it can do some things remarkably well. And it is the pace of change that I think is really important and from our perspective, we want to be really well prepared both as a company, but also for our workforce. We think that's really important for Australia. And so, I do think it's an important obligation for employers to be thinking carefully and deeply about this and trying to prepare their people as best they can.SARAH FERGUSON:  Let me ask you about safety because the Commonwealth Bank is partnership with OpenAI. There are reports, and I haven't been able verify these myself - with or without AI - so feel to correct me but I understand that reports say that OpenAI last year changed its mission statement and removed the word "safely" from the principle paragraph in its mission statement. Does that worry you? That OpenAI removed such a crucial word from a central document like a mission statement?MATT COMYN:  Well, I don't know. So, like you, I probably want to verify, and we engage with them regularly. So, I would be to do that. We got a partnership with OpenAI, we do with Anthropic as well, we work with, Microsoft, we work with a number of the tech companies. I mean I think there are obviously enormous opportunities but even people who work very closely in that industry acknowledge there are, with that powerful trajectory, there are a lot of risks. And I think one of the things that worries me about it overall is there is so much at stake on a global basis. You know, there are countries competing, let alone individual companies, that are racing towards an environment of trying to deliver super-intelligence and that can be defined in lots of different ways. That tends to create a structure, or an incentive that perhaps shortcuts could be taken. I think everyone should have some degree of concern and certainly hold both companies and, you know, it's aspect for all countries as well, be thinking about how this technology is developed safely because clearly that's in everybody's interest.SARAH FERGUSON:  We'll come back and talk about safety another day. JP Morgan boss, Jamie Dimon says he sees some people do very dumb things in AI investment and he says there is a risk of creating conditions that could lead to a financial crisis. Do you see people doing the same dumb things?MATT COMYN:  No, I wouldn't use the same language that Jamie did. Look, I think over time...SARAH FERGUSON:  Is the principle right, dumb or not dumb?MATT COMYN:  Well, if I thought about just about every technological shift over the last 100 years whether that be rail roads, electricity, the internet, there tends to be a lot capital goes into those periods of time. Some of it is not always well allocated. I mean there are some really big differences here. Some of the big investments are to companies that are very profitable, lots of cash flows. So, but I would be surprised if there weren't any excesses, you know, across the world...SARAH FERGUSON:  Not threatening the financial system as you see it.MATT COMYN:  No, I think there's a big difference between volatility and financial instability. I'm certainly not worried about it from a Commonwealth Bank perspective. We have very modest exposure to data centres. Obviously we are still focused on cash flows and collateral but I think it's always worth been in a very mindful because of the scale and I think the pace of change here is quite different.SARAH FERGUSON:  Let me bring us back down to earth. CBA raised its mortgage rate today. When are we going to see it - what's it going to take for it to come down again?MATT COMYN:  Well, I think unfortunately I think the direction of interest rates is, we're forecasting one more rate hike in May. We think that will be the end of the rate hiking cycle but of course, again, depending on what the inflation data in particular shows and so, I mean, that will be unwelcome shift certainly for mortgage holders but then after that we would expect to be moving into a more of an easing cycle.SARAH FERGUSON:  Let's get into the question about generational equity, generational fairness, it's become a very important topic. You have been talking some time about the need to tax wealth more in Australia rather than income. Do you want to see a more aggressive tax reform, to see more aggressive tax reform in the upcoming budget?MATT COMYN:  Yeah, I think there's a few things that are really important. Firstly, getting inflation down in the target band, inflation hurts everyone particularly lower income. Two, the most important thing I think that the recent economic growth has shown is the productivity or the lack of productivity, which is not unique to Australia, and it's certainly not a new phenomenon, is really putting a hand brake on economic growth. So I think there's a lot of focus going into how do we boost productivity. An important part of that, but certainly not the only part of that, is tax. I think intergenerational equity, fairness, boosting investment, and simplicity, if I thought about the tax system, is a very important part of that picture.SARAH FERGUSON:  I'm sure you noticed yesterday former Reserve Bank governor Bernie Fraser say that there is a case to get rid of the capital gains tax discount altogether, as a step towards more affordable housing. Simply on the maths, is he right?MATT COMYN:  Yes, I think he is. I mean, we would see that as certainly something that should be under consideration.SARAH FERGUSON:  You would support the ending of the capital gains tax discount?MATT COMYN:  Reducing the discount at least as I understand it. Not retrospectively...SARAH FERGUSON:  Or abolishing it.MATT COMYN:  ... but going forward, I think as part of a broader package of reforms. I think that's certainly something that should be given careful consideration. I mean a big part of intergenerational equity is there is too much of a burden on labour, in terms of people who are working, paying too much income tax. We've got to make sure that the tax system is fair. I mean I think it is broader than that clearly, but I do think that is an important aspect.SARAH FERGUSON:  Have you said that to the Treasurer?MATT COMYN:  I have.SARAH FERGUSON:  What did he say in return?MATT COMYN:  Well, I won't share the details of our conversation.SARAH FERGUSON: You've said that?MATT COMYN:  Yes. I find the Treasurer is always open to constructive engagement and feedback.SARAH FERGUSON:  Matt Comyn, so many things to talk about with you. We look forward to having you back. But in the meantime, thank you very much indeed for joining us.MATT COMYN:  Thanks very much.SARAH FERGUSON:  Thank you. Commonwealth Bank’s CEO, Matt Comyn, speaks to 7.30 after it announced it has slashed 300 jobs as it introduces a $90m program to adapt AI into its workforce.AustraliaAI