Westpac is preparing to axe more than 1,500 jobs in a major workforce overhaul. New CEO Anthony Miller, who took the helm in December, is driving the changes. The move follows a directive for managers to slash headcounts by five per cent across most teams.
Focus on Streamlining Operations
Miller aims to simplify systems and reduce technology complexity. The Australian Financial Review reported that the new leadership is prioritising cost reduction. Sources said teams must review structures and propose job cuts in the coming months.
Figure 1: Westpac’s new CEO, Anthony Miller
Job Cuts Follow Poor First-Half Results
Westpac’s first-half financial results disappointed investors. The bank reported a one per cent fall in cash profit to $3.3 billion. The disappointing performance triggered internal reviews and pressure to improve efficiency.
Redundancy Plans Not Yet Finalised
A Westpac spokesperson said the exact number of job cuts remains undecided. However, the bank confirmed some redundancies are under consideration. “We adjust the composition of our workforce according to our investment priorities,” the spokesperson said.
Investment in Customer Roles Continues
Westpac confirmed ongoing investment in customer-facing roles. “While we continue to invest in extra bankers and customer-facing roles, other programs and initiatives may need fewer resources,” the spokesperson said. “This means, from time to time, we make changes that may impact some roles and responsibilities.”
Efforts to Retain Staff Ongoing
The spokesperson said the bank will continue to reskill employees. “As the skills and capabilities required in banking continue to evolve, so will our workforce. We try to keep as many employees as we can, through retraining and redeployment.”
Figure 2: Westpac tries to retain staff through retraining and redeployment
Potential Impact on 1,700 Jobs
Based on Westpac’s latest full-time workforce of 35,240, a five per cent reduction could mean 1,700 roles. The cuts would be in addition to the 900 full-time jobs Westpac eliminated in the last financial year. The bank employed over 30,000 staff in Australia before the planned changes.
Staff on Unite Program Safe
Sources told the AFR that staff working on the Unite program will not face cuts. This program aims to reduce product complexity by consolidating technology and simplifying processes.
Recruitment in Other Areas
Despite the proposed redundancies, Miller plans to expand certain areas. He told investors the bank will recruit 180 new home finance managers. He also flagged hiring more business bankers to enhance frontline services.
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Westpac Hired 5,000 in Last Year
The spokesperson highlighted recent recruitment efforts. “Westpac hired nearly 5,000 people over the past year,” they said. The bank continues to restructure teams based on changing demands and customer behaviour.
Commonwealth Bank Also Cuts Jobs
Commonwealth Bank has also implemented job cuts following recent results. This week, the bank axed 163 positions, including 58 roles at subsidiary Bankwest. Of the 105 Commonwealth Bank jobs lost, 90 were in New South Wales, and the rest were in Victoria, Tasmania, Western Australia, and Queensland.
CBA’s Profit Rises Amid Cuts
The job cuts came despite strong performance. CBA reported a six per cent rise in March quarter cash profit to $2.6 billion. A spokesperson said the bank constantly reviews operations. “We review how we are organised to deliver the best experiences and outcomes for our customers,” they said.
CBA Emphasises Redeployment
The bank said it aims to redeploy impacted staff. “One of our priorities is to redeploy or re-skill where possible,” the spokesperson added. CBA hired almost 3,000 people since January, despite the staff reductions.
Nearly 800 Jobs Lost Across CBA and Bankwest
The Finance Sector Union said CBA and Bankwest have cut nearly 800 roles over the past year. “CBA and Bankwest workers deserve job security, but with announcements of job cuts every couple of months, they are instead wondering when and where the next axe will fall,” said FSU national secretary Jason Hall.
Bankwest Moves to Fully Digital Model
Bankwest closed all 45 branches across Western Australia last year. It converted 15 of those to CBA branches. The move aligns with the shift to digital services. Bankwest said 97 per cent of transactions are now digital. Fewer than two per cent of customers visit branches regularly.
Sector Faces Continued Uncertainty
Job security in the finance sector remains uncertain. Major banks are reducing roles despite solid profits. Structural reforms, automation, and digital services are reshaping employment trends across the industry.
