From the Guardian · · 1m 10s
NAB cuts 2,500 jobs in major restructure
Australia's biggest bank announces 6% workforce reduction before year end, citing economy, competition and technological change.
In brief
Australia's biggest bank announces 6% workforce reduction before year end, citing economy, competition and technological change. National Australia Bank is cutting 2,500 jobs, or 6% of its workforce, before the end of the year as banks restructure for digital banking and AI. Originally reported by the Guardian.
NAB announces 2,500 job cuts
National Australia Bank said on Tuesday it will cut 2,500 jobs, representing 6% of its workforce. The bulk of redundancies will occur before the end of the year.
Banks cite technology and economy
NAB cited a challenging economy, competition and rapid technological change as reasons for the cuts. The bank said changes would reduce duplication and speed up decision making.
Part of wider banking restructure
Angel Zhong, a professor of finance at RMIT, said the restructure was part of an industry-wide reset. Banks are investing heavily in technology and AI and redesigning their workforce for digital banking.
“This is not just cyclical cost cutting, it's structural change.”
Union warns of workplace chaos
Finance Sector Union national assistant secretary Nicole McPherson said the cuts would have significant impact on a workforce already overwhelmed by unmanageable workloads and entrench anxiety.
“It will wreak chaos and entrench a culture of anxiety at a bank that seems hell bent on self-destruction.”
What it means
National Australia Bank is cutting 2,500 jobs, or 6% of its workforce, before the end of the year as banks restructure for digital banking and AI.
