Allianz Partners is planning to reduce its workforce by 1,500–1,800 positions as the German insurer’s business expands its use of AI, Bloomberg reported.
The reductions will span multiple European countries and are set to be implemented through severance packages, early retirement schemes and other voluntary arrangements, according to Allianz Partners CEO Tomas Kunzmann, who addressed the matter at an event in Munich, Germany.
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Voluntary departure schemes have been rolled out in Spain, France, Germany, Italy and the Benelux region.
Allianz Partners, which has a headcount exceeding 22,000, previously indicated that workforce numbers could be influenced by its AI-led transformation, pointing to the technology as a contributing factor to the reductions.
“Over the past six months, we have negotiated with our colleagues on the works councils,” Kunzmann said.
Worries over the effect of AI on jobs are mounting as substantial capital continues to flow into the sector.
Bloomberg Economics projects that 27% of employees in developed economies could face significant disruption from AI.
Ergo, the primary insurance arm of Munich Re, is targeting roughly 1,000 job losses in Germany, with AI expansion cited as a contributing driver, the report added.
The reductions at Allianz Partners mirror a wider trend among insurers across Europe adjusting their operations in light of growing AI use, with Kunzmann stating that staff affected by the changes would be treated fairly as the process unfolds.
Its parent company, Allianz, separately reported in May that shareholders’ core net income reached €3.8bn ($4.34bn) in the first quarter of 2026, climbing from €2.6bn in the same period last year – a rise of 48.4%.
Stripping out the effect of the disposal of stakes in its Indian joint ventures along with other offsetting factors, core net income rose by 7%, a shift primarily attributed to stronger operating profit.
