National Australia Bank’s local work force has fallen over the past year, as the company keeps a lid on employment amid the global downturn.
The total number of Australian staff edged down 3.3% in the year to March to 18,305 from 18,930 in March 2008, the bank said.
Banking staff levels in Australia "decreased by 625 full-time equivalents as a result of ongoing business initiatives and convergence activities to gain a more efficient structure," NAB said in its half-year results.
For the entire group, including businesses in the UK, US, and New Zealand, total employment has grown 1.2% to 39,578 in the half from 39,090 over the same point. Overall numbers were helped by 226 global market positions added at nabCapital and 816 staff the bank inherited through its acquisition of US-based Great Western Bank in June of 2008.
NAB says it has off-shored about 900 jobs over the past three years, although the company has no set target for the number of positions to be trimmed locally.
"We’ve made it clear we’re not working to any number," said a NAB spokeswoman, who noted that "off-shoring is one of the ways we keep the bank stable and secure by running an efficient business".
The Finance Sector Union has criticised the bank, which posted a half-year cash profit of $2 billion, for shrinking its Australian work force amid the recession.
"Something is deeply wrong when a bank that makes money at home is determined to send jobs abroad," said FSU national secretary Leon Carter.
"It’s bad for business, bad for Australia and galling given the Government’s generous support of Australian banking."
The controversy surrounding off-shored banking jobs has increased since the Federal Government began to guarantee the deposits of Australian institutions in October to boost confidence in the sector.
The union has complained that the Government should extract job security pledges from the Big Four banks in return for the promise on deposits.
czappone@fairfax.com.au
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