Westpac to close 20 branches across NSW, Qld, Victoria and SA
The major bank has been criticised for making a “brazen” decision and accused of “abandoning customers”.
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Westpac is “abandoning customers” by shutting down a further 20 bank branches across four states in Australia, the union claims.
Its latest move could see up to 91 jobs cut, with Finance Sector Union national secretary Julia Angrisano saying Westpac had closed large numbers of branches over the past year.
“Westpac is brazenly closing branches month after month as a means of propping up profits and bonuses for senior executives,” she said
She added the recent Westpac results announced showed it recorded a profit for 2022 of $5.65 billion, up 4 per cent, while costs were down 19 per cent with 2667 jobs cut last year.
“It is simply outrageous that Westpac can continually kill off jobs and close branches and nothing is being done to stop them,” she said.
The closures include Westpac branches in the Sydney suburbs of Newtown and Potts Point, while five branches are closing across Queensland including in Kin Kora, Milton, Gatton, Cloncurry, Ingham and Tully.
In Victoria, branches based in Brandon Park, Robinvale, Sale and Denmark are also being shuttered.
The Bank of Melbourne, which is owned by Westpac, is slashing eight branches in the suburbs of Casey, Chirnside Park, Moonee Ponds, Melton Woodgrove, South Melbourne, Malvern and Waurn Ponds.
There is also one branch closure in Bank SA in Kingston SE.
A Westpac spokesperson said the bank has more than five million digitally active customers and “we know their expectations are changing”.
“That’s why we’re investing in digital services so our customers can bank with us anywhere, at any time,” they said.
“Changing and declining customer use of branches means that in some instances, we may make a difficult decision to close a branch.
“In these instances, we continue to support our customers by expanding access via Bank@Post, telephone, mobile and virtual banking. We always notify our customers in advance about the changes and directly connect them with the services they need to continue to do their banking.”
The spokesperson added they have a robust process in place to assist employees to find new opportunities within Westpac meaning the majority affected will secure a new role.
“Where an employee doesn’t secure a role to stay with Westpac Group, we have financial and tailored career transition support available to help them secure employment elsewhere in the local community,” they added.
It comes as the opal mining town of Coober Pedy in South Australia is set to lose their last bank branch – a Westpac – on February 17.
There are warnings the closure will impact vulnerable customers such as the elderly and Indigenous population, while people will be forced to drive up to $200,000 in cash thousands of kilometres away.
Residents of a booming outback Queensland mining town are also furious at the “disgraceful” decision by Westpac to close its branch there, amid warnings regional bank closures are reaching “crisis” levels.
The banking giant informed the Cloncurry Shire Council via email that its branch — which originally opened in 1905 — would be closing on May 19, leaving residents facing the prospect of a 240km round trip to Mount Isa to access face-to-face banking.
In an open letter to Westpac, the council slammed the move as “unacceptable”.
Last week, the Senate passed a motion to hold Australia’s first parliamentary inquiry into regional bank closures in nearly two decades.
It will investigate the reasons given for branch closures, the economic and welfare impacts on customers in regional communities, and the effect of the removal of face-to-face cash services, among other things.
The move saw the Commonwealth Bank backflip on a decision to close two branches this year, including one in Junee, a town in the Riverina region of New South Wales, which was due to shut on March 3.
“Following consideration of a request from the Senate Committee, CBA will not close any regional branches while the inquiry is underway in 2023,” a CBA spokesperson said.
“As an additional sign of good faith, while the inquiry is underway in 2023, CBA will postpone the closure of two branches already announced.
“We continue to welcome constructive engagement with government, industry and communities – an approach demonstrated by our recent work with all members of the Regional Banking Taskforce.”
Ms Angrisano said the recently announced Senate inquiry into bank branch closures will examine the impact of the closures in regional Australia but the move by all the large banks to downsize branch networks is hitting Australian in the cities as well.
“We welcome the CBA’s announcement to pause regional bank closures and we now expect the other banks to do the same,” she said.
“All Australians deserve to have access to the full range of financial services wherever they live.”
Originally published as Westpac to close 20 branches across NSW, Qld, Victoria and SA
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