Australia’s NAB to cut up to 2,500 jobs by mid-2027 — ABC News Australia

Australia’s National Australia Bank (NAB) plans to cut up to 2,500 jobs, equivalent to about 6% of its workforce, by mid-2027. ABC News reports, citing the bank’s statement to the Australian Securities Exchange.

Up to 1,500 positions to be eliminated this year

By the end of the current year, NAB intends to eliminate up to 1,500 positions. The bank also plans to significantly reduce its use of consultants and external contractors.

NAB explained the decision by citing the simplification of its operating model and the alignment of its workforce structure with growth priorities and customer technology initiatives. Pre-tax restructuring costs are estimated at around A$300 million. The bank promises to disclose details together with its full-year financial results on November 5.

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Corporate functions will be affected by the cuts

NAB Chief Executive Andrew Irvine said the changes would not have a significant impact on banking roles directly related to customer service. According to him, the bank will focus on reducing corporate functions and making deeper changes to leadership roles in order to expand management accountability.

In its statement, NAB also pointed to more challenging economic conditions, rising customer expectations, intensifying competition and rapid technological changes. Andrew Irvine acknowledged that it would be a difficult period for employees affected by the cuts and pledged to treat them with dignity and respect.

Other Australian banks have also reduced their headcount: ANZ’s large-scale restructuring over the past year resulted in the loss of thousands of jobs, while Bendigo and Adelaide Bank proposed cutting 137 positions last month.