Bank bosses abandon the homeless by snubbing the Vinnies CEO Sleepout

THIS year, not one of the bosses of the big four banks took part in the Vinnies CEO Sleepout homelessness awareness event.

CEO Sleep Out at Government House Grounds. Cathy Beaton president of Vinnies, Anthony Casey Director of CMV Group and Kate Cebrano test out one of the benches for the CEO Sleep Out. Picture Mark Brake

THEY’RE under threat of a royal commission, have had homeless people literally camped on their doorstep and been pounded in the press.

So you would think that bank CEOs would be bending over backwards to look like they’re helping the poor and disadvantaged. Say, for example, by participating in the nation’s biggest event for CEOs to help the poor and disadvantaged.

However this year, not one of the chief executives of the big four banks took part in the Vinnies CEO Sleepout — an event designed purely to focus the minds and money of top businesspeople on homelessness — fuelling its worst result in years.

In Sydney, Australia’s financial capital and where homelessness shot to the top of the national agenda thanks to a renegade “tent city” in front of the Reserve Bank headquarters, the event was not attended by a single bank CEO.

As a result it fell more than $300,000 short of its target, raising just $1.765 million instead of a hoped-for $2.1 million.

This was well down on last year, which raised $1.9 million, and even further below the $2.15 million raised in 2015.

The decline has mirrored a drop off in support from the banks, with no big four CEO taking part since Commonwealth Bank boss Ian Narev and former Westpac chief Gail Kelly went head to head in 2012. It is believed the CEOs of ANZ and NAB have never participated.

In 2013 and 2014 the St George CEO participated in Sydney, and the head of RAMS slept out in 2015, raising hundreds of thousands of dollars. Not so this year and the year before.

The result has left organisers deeply disappointed and the head of Vinnies NSW is now calling upon all four of the big bank CEOs to take part next year.

David Marlow is a key ambassador of Vinnies CEO Sleepout and a well-known media spokesman for the Jewish community in Melbourne and, in particular, Glen Eira. Picture Yuri Kouzmin

News.com.au has contacted each of the big four to see if they will but we’ll get to that later.

First, to be clear, this is not to say that Vinnies hates the banks. On the contrary, it loves them.

For one thing, when bank CEOs do take part they raise a huge amount of money for the homeless, which is precisely what makes it such a problem when they don’t.

Former CBA chief Ralph Norris was the highest fundraiser in 2011 and Gail Kelly was the highest fundraiser in 2012. Even second tier financial institutions raise a truckload, in part because of their links to the majors. The St George CEO George Frazis pulled in $226,000 in 2014 and RAMS CEO Martine Jager pulled in $183,000 in 2015.

Even in the last two years Bank SA CEO Nick Reade has been the number one fundraiser, but he was at the Adelaide Sleepout — not in Sydney where the homelessness and housing affordability crisis is most acute.

And while it is true the banks often send senior managers in lieu of a CEO, the impact is never the same.

In fact, this brings us to the second and more important point: It is not actually the CEOs’ money that Vinnies wants the most, it is their attention.

For example, as one senior insider puts it:

“The CBA has 25 per cent of the home mortgages in the nation. Their profits come off a booming market that in turn funds the superannuation accounts of many Australians. However not everyone is benefiting from this. Those requiring social and affordable housing need to see the banks become part of the financing solution. Very low rate financing for social and affordable housing developments are required. The $9 billion profits can be partly a return to meet housing for those struggling.”

Translation?

Australia’s biggest and most iconic bank has the lion’s share of mortgages and last week it announced a blockbuster profit of almost $10 billion.

At the same time it is fighting the mother of all PR battles because of a mega money laundering scandal and an insurance debacle that has fuelled calls for a royal commission into the whole banking sector — something Labor has pledged to do if elected.

Meanwhile there is a massive anti-corporate populist uprising as seen by the Occupy movement and the juggernauts of Bernie Sanders, Jeremy Corbyn and even in a sense Donald Trump. Bill Shorten seems at times to be channelling all three.

So what better way for banks to show they are good corporate citizens, get the government off their back and ease the housing affordability crisis than by offering lower interest rates for those struggling. And what better way to convince them of this than by having the good people at Vinnies in their ear over a long cold night in the middle of winter.

The best charities are great at this kind of altruistic guile — in Vinnies’ case a combination of charm and Catholic guilt.

Speaking of which, Vinnies NSW CEO Jack de Groot is ready to forgive all sins of omission by the big bank CEOs and is cordially inviting — perhaps even begging — them to participate next year to get the nation’s biggest corporate fundraiser for homelessness back on track. It could hardly come at a better time for the homeless or the banks.

The good news is that the early signs are promising. Contacted by news.com.au, Westpac CEO Brian Hartzer has said that only scheduling conflicts had prevented him from taking part since assuming the role in 2015 and indicated he was ready to sign up.

“He hopes to be able to participate in the future,” his office said.

Commbank CEO Ian Narev, who to his credit has already done one, also hinted at a return before his retirement next year.

“We are a longstanding supporter of the CEO Sleepout and plan to have senior executives and managers participate in the 2018 events,” a CBA spokesman said.

NAB chief executive Andrew Thorburn was overseas and unable to be reached but the bank has a very strong track record in social welfare, having contributed $33 million to various programs last year. A senior insider assured news.com.au that this commitment was ongoing and apologised they could not contact him for a definite yes.

ANZ is yet to respond.

Whatever happens on that cold hard night in June 2018, it is a cold hard fact that poverty and disadvantage will never be conquered unless the top end of town and those at the bottom of the tree get together and work towards the same end.

And you can bank on that.

Disclaimer: In case you couldn’t tell, Joe Hildebrand is a proud supporter of Vinnies and was MC at the 2015 Sydney CEO Sleepout.