Looming job cuts not off the table for Whanganui's BNZ branch

Three Smart ATMs were added in the Whanganui branch last year and the external ATM was upgraded to a Smart ATM. Photo/ file

Looming job cuts are not off the table for Whanganui's BNZ branch.

Yesterday, First Union announced 50 BNZ jobs were likely to be made redundant and replaced with part-time roles as its Aussie parent bank cuts thousands.

BNZ national external relations consultant Janine Ogier confirmed that no redundancies had been made at the Whanganui branch but the future was difficult to predict.

"There's ongoing transformation of banking as we respond to, and anticipate, the changing needs of our customers," she said.

In October last year, there were three Smart ATMs added in the Whanganui store and the external ATM was upgraded to a Smart ATM.

Smart ATMs are the next evolution of on-the-go banking and provide the ability to receive cash deposits, transfer money between accounts and even clear cheques at the ATM.

First Union's Stephen Parry said he was aware of, and disappointed by, the projected 6000 redundancies being rolled out at NAB - BNZ's parent bank in Australia.

"We have not seen the same scale of job losses in New Zealand. However, the union is very concerned by an ongoing wave of restructures currently taking place across BNZ."

Ms Ogier said customers were increasingly choosing BNZ's digital banking channels to fulfil their everyday banking needs.

"Nine out of 10 transactions now are being completed digitally.

"Most customers are comfortable using things like online banking, our app, and smart ATMs and generally use stores for more complex conversations – like planning for their retirement, sorting home loans, KiwiSaver and insurances," Ms Ogier said.

Mr Parry said these restructures were bad for workers and bad for bank customers.

"Workers face the choice of either losing their jobs entirely, or else accepting reduced hours and a corresponding reduction in pay," Mr Parry said.

He said it was a deliberate choice to put profit ahead of the interests of customers and workers.

"BNZ made nearly $1 billion for NAB last year ― it can afford to maintain its present services."

BNZ reported a net profit of $937 million on the back of strong lending growth and lower provisions for bad and doubtful debts.

National Australia Bank saw a 2.5 per cent rise in its cash earnings to A$6.6b ($7b) for the year ended September. The bank made a statutory net profit of A$5.3b for the year to September 30.

NAB chief executive Andrew Thorburn in November last year said the result represented another year of consistent delivery for the bank.

"Cash earnings and revenue are up, asset quality is a highlight again, and we have further strengthened our balance sheet."

Australian media reported Thorburn saying that part of the savings would include a cut in 6000 jobs over the next three years, although a further 2000 new jobs would also be created.