Over 100 jobs being cut at Westpac

An organisational restructure at banking giant Westpac has now led to the bank cutting 102 roles, despite earlier assurance that it had not planned to axe any positions.

Editor’s note: This story first appeared on HR Leader’s sister brand, Banking Daily.

The restructure plan, known internally as Catalyst, is Westpac’s strategy to reduce operational complexity and expenses.

Despite earlier assurances that jobs would not be affected, the Finance Sector Union (FSU) said that in its proposed restructure, Westpac has said that 174 jobs will be impacted.

Of those roles, 102 will be made redundant, while 72 will be shifted to similar positions.

“FSU members are concerned by this announcement,” the union said in a post on its site.

“When Westpac engaged Catalyst earlier this year, management assured us that it was not a job-cutting exercise. With 102 jobs going due to Catalyst, members have lost faith in any management promises.”

Following FSU’s report, Westpac confirmed the job cuts in a statement to media.

“The shape of our workforce changes according to the investment priorities of the group. While we continue to invest in extra bankers, digital delivery and customer-facing roles, other programs may be completing or require fewer resources,” a spokesman said.

“This means from time to time we make changes that may impact some roles and responsibilities as we actively manage costs and investment. As customer habits change, and the skills and capabilities required in banking continue to evolve, so will our workforce.”

The bank has also said that it tries “to retain employees wherever possible, through retraining and redeployment”. It did not comment on whether the axed roles would be redeployed.

Westpac chief executive Anthony Miller, during a town hall meeting in August, called Catalyst a “significant moment” for the bank.

“Our investors consistently worry and have been consistently proven correct that we don’t deliver products to specification, on time and on budget,” he said.

“It’s not starting with, ‘this is about headcount out’. It’s about how can we make it easier to do your job.”

Westpac chief financial officer Nathan Goonan is leading the Catalyst program after joining Westpac from NAB and wants to reorganise its operations to be in line with its big four rivals. This means restructuring teams in 20 delivery units working on specific sectors such as financial markets or lending, rather than skill sets like technology.

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