Being sober the new black for big business

To quote the artist formerly known as Prince, you won’t find staff at National Australia Bank that are going to “Party like it’s 1999” – at least not during work hours. Among banks and other large corporations, sobriety is the new black.

To be fair, corporate Australia has been moving along this abstemious trajectory for a long time, and that said, it isn’t there yet.

But we are witnessing a tipping point, and National Australia Bank’s missive (that found its way into the media) to some of its staff that those Friday afternoon beer/wine sessions are to go the way of the dinosaur is part of a broader move by companies, and their increased mindfulness of occupational health and safety.

Among banks and other large corporations, sobriety is the new black.Credit: Alisdair Elmes for Unsplash.

Many mining and manufacturing workplaces have had liquor bans in place for decades. And it’s a safe bet that in 10 years no one will be writing a comment piece about workplace drinking. It will be banned – and viewed as a historical curiosity.

There are already guardrails that apply to consuming booze at NAB. For example, it needs to be served by inhouse caterers holding a responsible service of alcohol credentials – no bringing it in a paper bag allowed!

A NAB spokeswoman said the bank was committed to providing a safe working environment, where no staff are impaired by alcohol or drugs.

Other banks have controls on drinking at the office in place, which is not surprising given these institutions house the traditionally male-dominated trading desks made famous by movies like Wall Street.

NAB’s tightening of controls around alcohol in the office is noteworthy only because it comes on the heels of its fellow bank ANZ, which has been embroiled in a bond trading scandal in which an investigation found its dealers used profane language and drank excessively during their lunch hour.

I doubt ANZ can blame shiraz for traders allegedly manipulating the benchmark 10-year futures rate when ANZ managed a $14 billion government bond sale last year.

But it does shine a spotlight on the coincidence of various scandals, including harassment, with alcohol in the mix.

But there are plenty of companies, particularly large ones, where culture is an important centrepiece of their organisations. They target diversity, behaviour and respect for colleagues.

In a modern corporate culture, there is very limited tolerance for the long and boozy lunch.

In many instances, the remuneration packages of senior leaders can include cultural criteria. And money motivates.

In some companies, including this masthead’s owner, Nine Entertainment, the board and executives have come under pressure because of internal culture and behavioural missteps of former senior staff. Of course, poor workplace behaviour is not necessarily the result of alcohol, but it can be fuelled by it.

The evolution of corporate policies on culture, including drinking, is already following a societal shift in alcohol consumption. Numerous studies over the past 20 years have shown that people are drinking less alcohol.

NAB’s official guidelines on staff drinks makes one wonder of what lies in store for office Christmas parties.Credit: Frances Mocnik

A Commsec report from 2018 said total liquor consumption in Australia was at a 70-year low. It did spike during COVID lockdowns but returned to its trajectory afterwards.

During the most recent earnings results from the biggest owners of bottle shops in Australia, Endeavour and Coles both described the current environment as challenging. This, in part, reflects a cost-of-living crisis but also highlights a growing trend by younger people to drink less, particularly beer.

If NAB’s official guidelines are the tip of the iceberg, it does make one wonder of what lies in store for the office Christmas party.

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