Call for regulated lending
(1 April 2008 – Australia) A report by the Finance Sector Union (FSU) has indicated that bankers are calling for regulation in lending practices and sales targets.
The report details lending practices within banks and the pressures they are placing on staff.
The report found that 63 percent of workers believed targets have a negative impact on customer service. Also, 59 percent said they had felt pressured to make inappropriate sales of debt to meet targets.
Rod Masson, FSU national policy director said that the report proves that sales targets are increasingly being linked to pay and job security.
He said that union members in the finance sector want to be recognised for professional customer service and that the pressure of sales targets prevents them from doing so.
He believes that self-regulation does not work. He concluded that debt is a looming national problem and that we don’t want to end up with an Australian sub-prime disaster.
The report found that 63 percent of workers believed targets have a negative impact on customer service. Also, 59 percent said they had felt pressured to make inappropriate sales of debt to meet targets.
Rod Masson, FSU national policy director said that the report proves that sales targets are increasingly being linked to pay and job security.
He said that union members in the finance sector want to be recognised for professional customer service and that the pressure of sales targets prevents them from doing so.
He believes that self-regulation does not work. He concluded that debt is a looming national problem and that we don’t want to end up with an Australian sub-prime disaster.
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