ANZ announced plans to reduce its workforce by 3,500 positions over the next year, representing a 14% cut in its employee count.
Chief Executive Nuno Matos stated that this restructuring is intended to streamline operations and eliminate redundant roles, emphasizing it as a necessary decision. This announcement follows a troubling incident in which retail division employees were informed of their impending layoffs via an automated email requesting the return of work laptops, prior to receiving formal notice.
In addition to the layoffs, ANZ also intends to reduce consultant and third-party contracts, impacting approximately 1,000 contractor positions. However, the bank indicated that front-line staff would largely remain unaffected by these changes.
The restructuring is expected to incur pre-tax charges of around $560 million, with further details on the financial implications to be released in November.
The Finance Sector Union (FSU) has expressed its intent to contest the restructuring. They have filed a dispute with the Fair Work Commission and requested an urgent meeting with Financial Services Minister Daniel Mulino. FSU President Wendy Streets criticized ANZ for what she termed a “betrayal” of employees in pursuit of increased profits. She highlighted a lack of transparency from ANZ regarding the cuts, stating that the manner in which employees discovered their layoffs—often through the media and the recent email incident—was disgraceful and has added to their shock and distress.