10,000 banking jobs at threat

UNIONS urged the Federal Government to save banking jobs, amid fears the big five banks could soon shed up to 10,000 positions. The Age reported yesterday that ANZ was set to cut 3000-3500 jobs — 10% of its workers — in weeks, responding to the economic slowdown.

A well-placed source said the cuts were long-planned.

An ANZ spokeswoman confirmed job losses. She would not say how many but denied it would be 10% of its workforce.

"We announced in September that we would have a new structure with fewer middle-management roles — although it will leave customer-serving roles largely unaffected," she said. "These plans are beginning to crystallise and it is inevitable that some jobs will be lost."

Releasing the KPMG banking report last month, its head of banking, Andrew Dickinson, said Australia's big banks would likely cut about 10,000 staff from a pool of more than 150,000.

Finance Sector Union national secretary Leon Carter said ANZ was acting heartlessly.

"We have seen Westpac and St George get together yesterday and we conservatively estimate that at least 5000 jobs will disappear out of those two banks," Mr Carter said. "If you add the speculation about ANZ, then in the next 12 to 18 months, up to 10,000 jobs will disappear out of the banking sector."

He urged the ANZ to "come clean" on the jobs under threat because it created uncertainty for workers and customers. He said the Government guarantee on bank savings meant it should demand that no jobs go.

Deputy Prime Minister Julia Gillard said although she would not advise businesses on their circumstances "we've been very clear that the global financial crisis is going to touch this country. We are not immune.

"We've been very frank, we expect unemployment to rise." She said the Government was investing in jobs through its economic programs.