Westpac strikes 4pc pay rise deal for 2023

Employees with salaries under $94,000 will receive the full increase, while those above will see their pay rise by a smaller percentage.

The Finance Sector Union had previously warned Westpac’s offer would effectively deliver a real pay cut to members. Picture: Christian Gilles

Westpac staff have voted to lock in a 4 per cent pay rise from January 1 for lower paid employees and 3.5 per cent for those paid between $94,000 and $118,000.

Christine Parker, the bank’s group executive for human resources, told staff in a note on Wednesday morning that 66 per cent of staff who had voted had supported the proposed enterprise agreement. Under the pay deal, all employee below general manager level will also receive a one-off $1000 payment.

“I’m really pleased the majority of people supported the proposal and saw how it will continue building on everything we offer our employees,” Ms Parker said.

“If you didn’t support the proposal, I respect that you had a different view and I hope you’ll still make the most of all the benefits available to you.”

The Finance Sector Union had previously warned Westpac’s offer would effectively deliver a real pay cut to members. Inflation, the union’s national secretary Julia Angrisano said in July, was sitting at 6.1 per cent and predicted to hit 7.75 per cent in the December quarter.

Other banks are also negotiating with their staff.

National Australia Bank has offered employees making less than $100,000 in total remuneration a 5 per cent pay rise, followed by a 4 per cent increase a year later.

Higher paid employees were offered salary rises of 4.5 per cent in the first year of the new deal, and 3.5 per cent the following year.

Westpac employees with salaries under $94,000 will be given a four per cent increase next year and a 3.5 per cent rise the following, while those on salaries of between $94,000 and $118,000 will see an increase of 3.5 per cent his year and 3.5 per cent next year.