(31 October 2011 – Australia) As Australia’s commercial banks face the reality of customers seeking to reduce their debt, and remain under pressure to post larger and larger profits each quarter, employee’s jobs become less stable.Macquarie Group revealed it had cut almost 500 jobs in the past six months and analysts expect the big four to start cost cutting in the same way.
At Macquarie Group’s half-year results yesterday, chief executive Nicholas Moore revealed that the investment bank had cut 447 staff in Australia.
Macquarie is under pressure to cut highly paid banker roles as well, to help keep costs low.
Westpac’s BT Financial Group confirmed last week it had cut about 15 jobs from margin lending, marketing and support roles.
Cutting staff, which represent 60 percent of a bank’s cost is usually the first line of opportunity to save money.