Financial Sector Union slams ANZ plan to cut 230 private banking jobs

ANZ blames cost-cutting for job losses as Australians and the economy are reeling from coronavirus and bushfire events.

ANZ is cutting more than 200 jobs from its private banking and advice business Picture: Hollie Adams

ANZ will cut 230 jobs from its private banking and advice business, prompting harsh criticism from the Financial Sector Union as Australians face the effects of the coronavirus and bushfire events.

ANZ said cost-cutting was behind its decision to axe the jobs, with the move part of a simplification strategy that has been implemented company-wide.

Chief executive Shayne ­Elliott last year initiated a broad cost-cutting program intended to save the bank $1bn by 2022.

“We are now making some changes to simplify our retail distribution and financial planning capabilities so we can provide more focused and meaningful advice for our most financially complex customers,” an ANZ spokesman told The Weekend Australian.

“The advice team will be smaller, which will impact a number of our financial planners and support staff members.”

ANZ staff were informed of the decision on Friday.

The bank has steadily reduced its activity to the wealth management sector, last year sealing the sale of its OnePath pensions and investments business to IOOF for $825m.

More broadly, the sector has been the subject of an industry-wide overhaul triggered by the Hayne royal commission’s findings of widespread failure to act in customers’ best interests.

On Friday, the Financial Services Union said ANZ had chosen “to boost [its] own profit at the expense of the broader economy”, attacking the decision to cut financial advice jobs as “self-serving and shortsighted”.

FSU national secretary Julia Angrisano said: “As Australia deals with the serious negative economic impacts of corona­virus and unprecedented bushfires, it is beyond belief that ANZ thinks sacking hundreds of staff will help rebuild trust.”

ANZ said it had resources in place to assist affected staff, including redeployment opportunities, outplacement and funding for retraining.

The bank announced 60 job losses in its commercial business on February 13, and has also closed three branches within the past month.

ANZ shares closed down 4.7 per cent on Friday, at $22.14, amid a broad sell-off across the financial sector.