Commonwealth Bank to Cut 251 Jobs Amidst Rising Profits and Union Opposition

Must Read

The Commonwealth Bank of Australia (CBA) is cutting 251 jobs across its technology, retail banking, and business banking operations, sparking criticism from the Finance Sector Union. This comes just two months after the bank cut over 200 jobs, raising concerns about workload and staffing problems.

A CBA spokesperson confirmed the ongoing consultation regarding the job cuts and acknowledged that 251 positions might be affected. However, the spokesperson emphasised that some employees in these roles could be redeployed elsewhere.

Finance Sector Union national secretary Julia Angrisano expressed concern that losing specialists across various areas could aggravate CBA employees’ already significant overwork problem. 

“The jobs being lost are specialists across a range of areas, and it is hard to believe that the bank can afford to lose so many experienced staff at the same time that it has a significant overwork problem across the organisation,” Angrisano said.

The bank’s spokesperson justified the decision, citing regular skill reviews and organisational improvement focus. They also confirmed that customer-facing staff numbers will remain unchanged.

“As part of our focus on business improvement, we regularly review the skills we need and how we are organised. That means some roles and work can change or may no longer be required from time to time,” the spokesperson said.

CBA is expected to report strong full-year earnings on August 9. Despite the growing financial pressure on borrowers due to higher interest rates, banks have benefitted from historically low levels of bad debts.

Analysts expect CBA’s cash earnings to reach $10 billion for the year ending in June. Morgan Stanley forecasts a final dividend increase of $2.35 per share, surpassing the 2019 peak of $2.31 per share.Despite the bank’s assurance of prioritising communication with affected employees and exploring alternatives, the decision to cut jobs remains contentious due to union opposition and employee concerns.

- Advertisement -spot_img
Latest News
- Advertisement -spot_img

More Articles Like This

- Advertisement -spot_img