Australia and New Zealand Banking Group (ANZ) is set to cut 230 people from its headcount across its private bank and advice business in order to cut costs and build profitability.

Extreme pressure on the banking industry along with record-low interest rates are said to be the key factors triggering the downsizing exercise.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

However, the adverse effect of the novel coronavirus (COVID-19) outbreak on the economy is also said to have played a major role in the decision.

Commenting on the move, a spokesman from the bank stated: “We are now making some changes to simplify our retail distribution and financial planning capabilities so we can provide more focused and meaningful advice for our most financially complex customers.

“This means the advice team will be smaller, which will impact a number of our financial planners and support staff members.”

The bank has said that it is “committed to helping rebuild trust in the financial advice industry”.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Earlier, ANZ unveiled that it plans to cut costs by $1bn over the next three years to offset sluggish growth.

The latest decision to cut 230 jobs was heavily criticised by the Finance Sector Union (FSU), given that Australia was already reeling under the effect of coronavirus and bushfires.

“Cutting 230 more jobs does not meet the pub test for rebuilding trust nor does it meet the needs of staff, customers or the community, – it’s all about cutting costs to increase their profits,” FSU noted.

The recent decision comes shortly after ANZ announced 60 redundancies in its commercial business.