TD Bank has announced it will lay off roughly 2% of its workforce, or around 2,000 employees, as part of a broader restructuring aimed at cutting costs and increasing investments in digital and AI technologies. The move comes under new CEO Ray Chun, following TD’s historic anti-money laundering settlement in the United States. The restructuring, which includes winding down the bank’s U.S. point-of-sale financing business, is expected to save up to C$650 million ($470 million) annually and incur pre-tax charges of C$600–700 million over the next several quarters.

Chun said the bank is focusing on automating processes, reengineering operations, and driving efficiencies, reflecting a trend among Canadian financial institutions to adopt AI and digital tools to modernize operations. While TD has not specified whether the cuts will be in Canada or abroad, the layoffs highlight the growing pressure on banking jobs in Canada amid technological transformation. Despite the changes, TD reported stronger-than-expected second-quarter earnings, driven by record revenue in its wholesale banking division, even as it set aside C$1.34 billion to prepare for potential loan losses.

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Nivedita Balu and Arasu Kannagi Basil’s original article, “Canada's TD Bank to lay off 2% of workforce in restructuring” was published in Reuters News on May 23, 2025. Read the Full Reuters News story.