Bendigo Bank set to axe 145 "jobs" in technology division

Bendigo and Adelaide Bank is the latest financial institution to unveil a major restructure of its technology division, a move that could result in the loss of up to 145 "jobs".

The Finance Sector Union (FSU) said the reduction would impact 637 technology workers.

The union said that staff in the technology division were given six days of consultation on the proposed changes.

The FSU said it has contacted the Fair Work Commission over claims the bank did not “provide sufficient information to workers about the change and only offering to extend the consultation period by three days”.

"The bank reviews all parts of the business regularly and continues to prioritise investment in innovation that supports our business and meets the evolving expectations of our customers," a bank spokesperson said. 

"Bendigo Bank remains committed to consulting with our people whenever changes are identified that will impact them and ensures those impacted have the support they need.”

The bank's CFO Andrew Morgan hinted at the changes during the bank’s recent FY25 investor update, noting that the number of full-time equivalent (FTE) positions had already been reduced by 2 percent “in the last couple of months.”

“We will also reshape our operating model with the first phase of restructuring of our support functions to be completed by October,” he said.

Morgan said the bank was “swinging the mix of roles to frontline digital tech,” adding: “We’ve done some work; we’ve booked a restructure provision last week.”

During the same presentation, CEO Richard Fennell noted: “We continue to work towards delivering a more efficient cost base through strategic partnerships and the use of AI.”

When iTnews asked Bendigo Bank for further clarity on these comments, a spokesperson referred to the recently announced restructure of its frontline banking operations, which included the closure of 10 corporate branches.

“Bendigo Bank will provide further updates on its progress to the market in November, including at our investor day presentation, where we will provide more detail on our new strategy and initiatives to support the five strategic pillars," the spokesperson said.

The bank’s proposed restructure follows similar moves by NAB and ANZ Banking Group, which announced job cuts and changes to their technology operations this week.

Meanwhile, at the end of August, it was revealed that the Bank of Queensland had signed an artificial intelligence deal with consulting firm Capgemini, which will develop AI “agents” for the bank, according to the Australian Financial Review.

It was subsequently revealed by the FSU that the bank would also offshore 200 contact centre roles to a Capgemini-run centre in India.