Westpac Under Fire from Finance Sector Union Over Major Job Cuts

1

A representative from Westpac withheld details on the job cuts when asked by The Nightly. The spokesperson argued that workforce adjustments align with Westpac's investment priorities, indicating that while customer-facing roles are being bolstered, other areas might see resource reductions to manage costs efficiently.

Wendy Streets, FSU national president, emphasized the ongoing uncertainty and job redundancies confronting its members at Westpac. According to the union, Westpac has already eliminated nearly 1000 roles in the past year, affecting areas such as technology and business wealth divisions.

Streets criticized the new CEO Anthony Miller, suggesting he is missing an opportunity to invest in Westpac’s loyal workforce. "It’s disappointing, especially given Westpac's significant profit of $7 billion last year," she said.

Simultaneously, changes in the banking sector have seen Bankwest, a subsidiary of Commonwealth Bank, undergoing its own adjustments. It has shed 163 roles, with the closure of its last metropolitan branches in Perth as it pivots to becoming a digital-only operation.

As Westpac aims for increased digitization and streamlining its operations, launched through its recent half-year presentation, the focus stays on simplifying business models and reducing branch footprints. Despite a slight dip in profit, Westpac reported marginal changes in revenue for the half-year, attributing some financial strains to increased wages.

These developments come amid a broader trend of downsizing seen across major banks, responding to reduced dependence on physical branches. In line with this digital transition, Bankwest recently unveiled a new app and website, reflecting its commitment to bolster its digital infrastructure.

The financial landscape continues to evolve rapidly, with customers increasingly turning to digital banking solutions. As banks adapt to these trends, significant workforce impacts are anticipated, sparking calls for greater transparency and dialogue between banks and unions.

Published:Friday, 30th May 2025
Source: Paige Estritori

Share this news item:

Finance News

Clear

ASX Gains Amid Temporary Pause on Trump Tariff Policies 30 May 2025: Paige Estritori The Australian Securities Exchange (ASX) experienced an uptick on Thursday following a US court decision impacting former President Donald Trump's tariff policies. This development ignited a rally in energy and information technology sectors, resulting in the ASX 200 index climbing by 12.9 points, or 0.15%, to close at 8,409.80. Simultaneously, the All Ordinaries mirrored this performance, concluding 12.90 points higher at 8,637.80. - read more

Westpac Under Fire from Finance Sector Union Over Major Job Cuts 30 May 2025: Paige Estritori Westpac is facing scrutiny from the Finance Sector Union (FSU) as the bank plans to cut over 1500 jobs. This potential redundancy marks Westpac's most significant in the past decade, prompting the union to seek urgent clarification. The FSU also demands a halt to the proposed cuts, highlighting lack of consultation in the decision-making process. - read more

Australians Seek Financial Guidance Amid Rising Cost Pressures 28 May 2025: Paige Estritori Colonial First State (CFS) has released new findings underscoring the financial strain Australians are facing due to prolonged elevated living costs. A survey involving 2,250 respondents highlighted that many individuals are having to forsake long-term financial aspirations to address immediate financial pressures. - read more

The Australian Suburbs Offering Cheaper Mortgages Than Rent 28 May 2025: Paige Estritori New research highlights that young Australians might find it more economical to service a mortgage than pay rent in over a thousand housing and unit markets across the nation. Conducted by Ubank, the study reveals a significant disparity, as rent prices have skyrocketed 39% over five years, reaching a median of $659 weekly, compared to a median mortgage repayment of $922. - read more

Revived Interest in Financial Advising Sparks Positive Industry Shift 26 May 2025: Paige Estritori The financial advising sector in Australia is experiencing a resurgence of commitment from advisers, marking a significant shift in industry culture post-Hayne Royal Commission. According to findings from Adviser Ratings, nine out of ten advisers have expressed dedication to staying in the field, a notable increase from 74 percent in 2021. This trend was highlighted during a webinar as part of the lead-up to the 2025 Financial Advice Landscape report release. - read more

Australia's Economic Challenges: Capital Shallowing and Population Growth 26 May 2025: Paige Estritori Australia's economic landscape is confronting a significant challenge termed 'capital shallowing.' This occurs when the population grows at a rate surpassing that of investments in business, infrastructure, and housing, leading to reduced capital per worker and declining productivity. This phenomenon has become a central topic in discussions about Australia's sluggish economic growth over the past two decades. - read more

RBA Rate Cut Fuels Surge in Home Buyer Demand 26 May 2025: Paige Estritori In the wake of the recent federal election and expectations of a monetary policy shift from the Reserve Bank of Australia (RBA), there has been a noticeable uptick in home buyer activity. This enthusiasm is evidenced by a rebound in auction clearance rates in key markets, notably Sydney and Melbourne, as well as across combined capital cities. - read more