Lloyds Banking Group is reviewing staff performance metrics with the aim of axing chronic underperformers.
The UK lender, which has 63,000 staff, is looking to address low turnover rates, as staff avoid leaving their jobs amid economic uncertainty.
The bank is using data from HR software provider Workday and senior managers to rank employee performance, with underperformers due to be placed on 'structured support' programmes,
Approximately 3,000 people deemed among the bottom 5 per cent in performance terms could be put at risk of dismissal, the Financial Times reported on Thursday.
A Lloyds Banking Group spokesperson states: "As we build highly-skilled teams to move faster forward and deliver great outcomes for our customers, we are striving to embed a high-performance culture in the organisation.
"We know change can be uncomfortable, but we are excited about the opportunities ahead as we propel forward to achieve our growth ambitions and delivering exceptional customer experiences."