Westpac boss Gail Kelly steps down, Brian Hartzer to take the reins

ONE of Australia’s most prominent business leaders, Westpac boss Gail Kelly, will step down next year.

Westpac Chief Executive Officer Gail kelly delivers the company's full-year results during a media briefing in Sydney, Monday, Nov. 3, 2014. Westpac posted a record $7.6 billion profit. (AAP Image/Dan Himbrechts) NO ARCHIVING

ONE of Australia’s most prominent businesswomen, Westpac boss Gail Kelly, has announced she will retire from the position in February.

Ms Kelly has been hailed as one of the most influential business people in Australia. She was appointed to the chief executive position during the global financial crisis and is credited with steering the banking giant through the turbulent period.

She also drove the merger of St George with Westpac.

She is also one of Australia’s most highly paid executives. Yesterday, it was revealed she had banked almost $13 million for the year to September 30.

Westpac chairman Lindsay Maxsted said in a statement: “Gail is one of Australia’s most successful CEOs. She was appointed as the global financial crisis was unfolding and her leadership and dedication has seen Westpac emerge a stronger and better company. During her tenure the value of the company has more than doubled, with market capitalisation increasing from just under $50 billion to around $104 billion.

“She reset the organisation’s focus on customer service and revitalised Westpac’s brand network through Westpac Local. Her leadership galvanised the group’s divisions to work together as one team, ensuring the best outcome for customers across their total financial services needs.

“Gail’s passion for people has resulted in the development of a diverse and highly engaged workforce. She has personally driven the growth of women in senior executive roles, mature aged workers and those who work part-time.”

Ms Kelly said: “It has been a great honour for me to be the CEO of this wonderful company. It has been an amazing seven years, during which time Westpac has fundamentally transformed and grown.”

Ms Kelly said now was the best time to retire.

Speaking at press conference in Sydney this morning, Ms Kelly said it was a significant day in her long banking career, ever since starting as a teller in Johannesburg.

She said that thinking about the best time to retire, she believed now is the best time while the company is in a good position and has great momentum.

She said her retirement from the Westpac Group didn’t mean she was retiring and putting her feet up at home. “I’m full of energy and I love my life and what I do,” she said. “I’m just retiring from the CEO position. I’ll take my time in choosing other ways in which I can make a difference. So watch this space for additional things I might do.”

Ms Kelly said she will also, on retirement from Westpac, have more time to be involved in other organisations she holds a position with, including the US Council on Foreign Relations and Care Australia.

Because of her high profile position as the first female chief executive at a major bank, as well as one of the few female chief executives of ASX200 companies, Ms Kelly has been noted as an advocate of fostering female leadership. During her tenure, she instituted the goal of having 40 per cent of Westpac leadership position to be filled by women. Ms Kelly said today that figure is 44 per cent.

Asked about her advice for aspiring women in business, she said: “My advice and counsel to women is to back yourself. Be prepared to have a go. Many, many women have put their hands up and said have a look at me. Ask for opportunities and dig deep when those opportunities come your way.”

Ms Kelly will be replaced by her number two, Brian Hartzer, who has been tipped to take over since he joined Westpac from the Royal Bank of Scotland in 2012. Prior to RBS, he was chief executive, Australia of ANZ.

Brian Hartzer will take over from Gail Kelly in February.

Originally published as Westpac boss Gail Kelly steps down, Brian Hartzer to take the reins