NAB to axe thousands of jobs in massive restructure
NAB will slash up to 2500 roles as part of a massive restructure that will aim to simplify its operations and workforce.
In an ASX announcement on Tuesday, the big four institution said six per cent of the total workforce, comprising more than 41,000 people worldwide, will be cut by the next financial year.
Up to 1500 of those roles will be gone by the end of the year.
The bank will also focus on reducing the size of corporate functions and cutting back on its use of consultants and contractors.
NAB chief executive Andrew Irvine said the changes will help the bank meet “more challenging economic conditions, increasing customer expectations, competitive intensity and rapid technological change”.
“We know this will be a difficult period for our colleagues impacted by these changes as well as the people around them,” he said.
“We will treat every person with dignity and respect.”
Consultation with staff and the Financial Services Union will begin this week.
The restructure will cost it about $300 million pre-tax in the 2027 financial year through redundancy and redeployment packages and organisational changes.
Irvine said the bank’s ambition and strategy will remain unchanged in the restructure.
“We will improve productivity, risk outcomes and execution to be a simpler and more efficient bank,” he said.
It comes as the share price of NAB fell 7 per cent this year, roughly the same value it was just before the global financial crisis in 2008.
