CBA confirms job cuts
(10 November 2008 – Australia) The Commonwealth Bank of Australia (CBA) has confirmed that it will reduce staff levels in both the Institutional and Communications divisions, but has no plans to take jobs offshore.
CBA spokesman, Steve Batten, told AAP that a very small number of jobs in its Institutional Banking and Markets (IB) division will be affected.
Batten said that the jobs would go due to the reduced business activity as a result of the downturn in financial markets.
The Premium Business Services unit for CBA saw a 2 percent rise in profit due to an increased spend and higher provisions.
The bank was still advising affected staff and could not disclose exact numbers, but Batten assured that it would be a very small number in terms of the overall PBS (Premium Banking Services) business.
CBA has also restructured its corporate communications division, resulting in some redundancies as well as recruitment for new positions, Batten said.
Also, the bank had no plans to move more back office roles offshore, including those in processing, operations and call centres.
Batten’s comments were in response to a report in The Australian Financial Review (AFR) that said about 20 positions in the Institutional division were expected to go. The report followed an email from Institutional head, Ian Saines, to staff last week.
According to the AFR, Saines said that management has agreed that some areas of the business will be negatively affected for a prolonged period while others will be less affected or could even offer greater opportunity.
Batten said that the jobs would go due to the reduced business activity as a result of the downturn in financial markets.
The Premium Business Services unit for CBA saw a 2 percent rise in profit due to an increased spend and higher provisions.
The bank was still advising affected staff and could not disclose exact numbers, but Batten assured that it would be a very small number in terms of the overall PBS (Premium Banking Services) business.
CBA has also restructured its corporate communications division, resulting in some redundancies as well as recruitment for new positions, Batten said.
Also, the bank had no plans to move more back office roles offshore, including those in processing, operations and call centres.
Batten’s comments were in response to a report in The Australian Financial Review (AFR) that said about 20 positions in the Institutional division were expected to go. The report followed an email from Institutional head, Ian Saines, to staff last week.
According to the AFR, Saines said that management has agreed that some areas of the business will be negatively affected for a prolonged period while others will be less affected or could even offer greater opportunity.
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