HR and payroll in financial services, week ending 16 October 2026
Week ending 16 October 2026 · 2 sources
AI and wage bargaining power, and Citi's remote work call in Saudi Arabia
A central bank's chief economist said AI is limiting workers' wage bargaining power 1. Citi is allowing its Saudi-based employees to work remotely amid conflict 2.
Which way the market is moving
- The effect of AI on pay is now being discussed by central bank economists, not only by employers and unions 1.
- Large banks are adjusting work location rules for staff in a single country in response to security events 2.
- Citi's approach leaves the choice of where to work with employees in the affected country, rather than setting one firm-wide rule 2.
AI and wage bargaining power
A central bank's chief economist said AI is limiting workers' wage bargaining power 1.
A central bank's chief economist has said AI is limiting workers' wage bargaining power, iTnews reported this week 1. The comment links the spread of AI at work to how pay is set, not only to productivity 1.
The remark comes from a central bank, so it reflects how AI and wages are being read at the level of the whole economy 1. For employers, it places AI deployment alongside remuneration reviews and bargaining as a topic that observers outside the firm are watching 1.
What it means: Financial institutions rolling out AI tools should expect pay reviews and workforce plans to be asked how AI is changing roles and their value. Workforce analytics that can show those changes over time will be useful for boards, regulators and staff discussions.
Questions for vendors:
- Can your workforce analytics show how the introduction of AI tools changes role mix and pay bands over time?
- How do your planning models separate AI-driven task changes from changes in headcount?
- What reporting do you provide to support remuneration reviews where roles have been reshaped by automation?
In the registry: ZellisONE HR (Zellis), Workforce Management (MHR), Task Intelligence (Fuel50)
Citi lets Saudi-based staff work remotely
Citi is allowing Saudi-based employees to work remotely amid conflict, its CFO said 2.
Citi is allowing employees based in Saudi Arabia to work remotely amid conflict, Banking Dive reported 2. CFO Gonzalo Luchetti said on Tuesday the bank is letting staff there 'do what they feel comfortable doing' 2. He spoke as Citi reported $23.8 billion in quarterly revenue, its best third quarter in a decade 2.
The policy applies to staff in one country and leaves the choice with employees 2. It is a work location change made in response to a security event, rather than a firm-wide office attendance decision 2.
What it means: Any institution with staff in several countries needs HR and payroll systems that can record temporary, location-specific work arrangements quickly, with approvals and an audit trail. Extended remote work can also raise tax, payroll and duty of care questions that the HR system should help surface.
Questions for vendors:
- Can your core HR record temporary work location changes for a subset of employees by country, with an approval trail?
- How quickly can a location-specific remote work policy be configured and applied?
- Can your system flag payroll or tax implications when staff work from a different location for an extended period?
In the registry: Bob Core HR (HiBob), Payroll (Humanforce), Global Payroll (CloudPay)
Sources
- iTnews, 2026-10-13: AI limiting workers' wage bargaining power
- Banking Dive, 2026-10-13: Citi allows Saudi-based employees to work remotely amid conflict
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HR and payroll software manages people and pay: employee records, payroll, rostering, recruitment and performance.
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