Suncorp is taking the axe to costs. It announced 19 branch closures early last week. And now Suncorp has sketched out a restructure that will lead to the loss of up to 550 jobs.
The Finance Sector Union is consulting with its members over the announcement by banking and insurance company, which did not post any announcement to the ASX on Friday not put its case in any media release. It will still employ around 13,000 staff.
“Suncorp is a large financial services company and should have the capacity to maintain its business operations through the global pandemic and the subsequent recession caused by Covid-19,” Wendy Streets, the Queensland Local Executive Secretary of the Finance Sector Union said on Friday.
“Instead of valuing the staff it currently employs and planning for playing its part in rebuilding the Australian economy once the pandemic subsides, Suncorp has taken a short-sighted decision to make up to 550 roles redundant.”
Suncorp has said 180 new roles will be created to serve client demand diverted from closing branches.
Operating costs in the banking division increased 3.4 per cent over FY2020, which the bank said was primarily due to an increase in regulatory and technology expenses.
Once for sale and reporting a messy mix of rising cost ratios and a declining market share, Suncorp Bank was showing “the early signs of improvement”, or so group CEO Steve Johnston said at the results briefing last month.