ANZ takeover of Suncorp Bank will result in job losses, Finance Services Union claims

ANZ revealed it had made a $4.9 billion deal to take over Queensland bank Suncorp, but the union has warned it will result in a thousands of jobs losses.

ANZ’s $4.9 billion bid to buy Queensland bank Suncorp has been described as a “corporate marriage made in hell” which will result in thousands losing their job, claimed the Finance Services Union.

The deal between the two banks was announced on Monday with the acquisition expected to be completed by the second half of next year.

While ANZ assured Suncorp staff there would be no changes to employment conditions or any net losses until at least three years after the merger was completed, the union claimed employees had effectively been given notice that their jobs will start to disappear.

Finance Sector Union (FSU) secretary Julia Angrisano said back-office functions would be the first to go and claimed ANZ would then embark on an extension of its “aggressive” branch closure program, especially in locations with both ANZ and Suncorp branches.

Back office functions would be the first to go, according to the union. Picture: NCA NewsWire / Damian Shaw

But ANZ also said will also be no changes to the total number of Suncorp Bank branches in Queensland for three years.

“This is bad for jobs and bad for competition and the FSU will be making submissions to Treasurer Jim Chalmers and the ACCC, calling on them to reject this deal,” Ms Angrisano said.

“ANZ’s Shayne Elliott is trumpeting no net job losses for three years. What he really means is that there is no future for thousands of our members across Queensland once that three years is up.

“Now is not the time to close branches and reduce competition in the banking sector. With mortgage rates rising it is more important than ever to maintain competition.”

Shayne Elliott, ANZ CEO, announced that ANZ will buy out the banking arm of Suncorp bank. Picture: Arsineh Houspian

As part of the takeover, ANZ will absorb $47 billion worth of home loans with strong risk profile, $45 billion in deposits as well as $11 billion in commercial loans.

Ms Angrisano added that the takeover will cost jobs and kill off the Suncorp Bank presence as a brand across Queensland.

“ANZ has not been willing to negotiate a new collective enterprise agreement for the past six years and Suncorp’s expired agreement is three years old,” she said.

“These two companies clearly have a common culture of putting profits before people. They don’t respect the collective voice of their workers and they can’t be trusted to maintain banking services to the people of Queensland.”

It’s one of the biggest takeovers in the sector for more than a decade. Picture: William West / AFP

But an ANZ spokeswoman told news.com.au its investment in Suncorp Bank provides them with a platform to invest and grow in Queensland, a state that has one of the fastest growing economies in Australia.

“Our goal is to capitalise on the strengths of Suncorp Bank and find ways we can add value to that, bringing additional scale and services to Suncorp employees, customers and Queensland,” she said.

“Both Suncorp and ANZ’s purpose, culture and customers are closely aligned and we are committed to ensuring that the great Suncorp Bank brand has a greater capacity to grow and thrive.”

ANZ paused its shares on Monday morning in a trading halt as the bank seeks to raise about $3.5 billion in new equity to afford Suncorp.

The company said it expected to begin trading its shares again on Thursday this week.

Originally published as ANZ takeover of Suncorp Bank will result in job losses, Finance Services Union claims