Finance Sector Union seeks ‘urgent explanation’ from Westpac over job cuts

The Finance Sector Union says it has reached out to Westpac seeking an urgent explanation about the bank’s plans to axe more than 1500 jobs in what would be its biggest redundancy in a decade.

The union on Wednesday also called for the plans — which would see a 5 per cent staff reduction in most teams — to be shelved, saying it has not been consulted on any proposals.

A Westpac spokesman declined to confirm the number of the reported cuts or the areas it would come from when approached by The Nightly.

The company spokesman said the bank adjusted its workforce according to investment priorities.

He said while it continued to invest in extra bankers and customer-facing roles, other programs and initiatives may need fewer resources.

“This means from time to time we make changes that may impact some roles and responsibilities as we actively manage costs and investment,” the spokesman said.

“As the skills and capabilities required in banking continue to evolve, so will our workforce.”

FSU national president Wendy Streets said its members and Westpac employees have faced ongoing uncertainty and significant job losses over the past few years.

The union — which represents financial services workers — said Westpac had cut almost 1000 jobs over the past year, the most recent being 160 roles in the tech and business wealth division.

“As the new CEO, Anthony Miller had an opportunity to invest in his existing, dedicated workforce. He appears to be choosing not to do so,” Ms Streets said.

“This is deeply disappointing, particularly as Westpac posted a net profit of $7 billion just last year.”

Mr Miller — a former investment banker who took the top job in December — is aiming to simplify Westpac’s operations and embed more technology into its services.

In its half-year presentation earlier this month, Westpac said it wants to achieve a simpler operating model, reduced branch footprint and ramp up digitisation.

The bank delivered a one per cent drop in net profit to $3.45b in the six months to the end of March. Revenue came in at just under $11b, largely unchanged on the previous half.

It said staff costs rose $184m due to wages growth. Westpac paid $3.1b in employee payments in the half-year.

The reported jobs cuts at Westpac came the same week rival Commonwealth Bank told workers it would axe 163 roles nationally, including 58 at its subsidiary Bankwest.

It follows a string of job cuts and branch downsizing from major banks, pinning it on the weakening use of branches by customers.

CBA had closed Bankwest’s last metropolitan branches in Perth since March and rebranded the 15 regional branches in WA under its own name, remaking Bankwest as digital-only.

Bankwest earlier this year launched a new banking app and website, a move it said signalled “the next stage of its accelerated investment in its brand, products and services”.