National Australia Bank cuts 2500 jobs in restructuring
Key points
- National Australia Bank is cutting 2,500 jobs to reduce costs amid softening economic conditions.
- The major bank is removing 3,200 roles before Christmas while forcing the remaining staff to reapply for positions.
- Analysts estimate the restructuring effort could save the company up to $450 million annually.
National Australia Bank (ASX:NAB) announced plans to cut 2,500 positions across its business as part of a major operational restructure.
The bank is reducing its workforce after experiencing a 30% increase in overall headcount over the previous five years.
“We’ve had the fuel crisis coming out of the Middle East war,” said National Australia Bank CEO Andrew Irvine.
The restructuring will primarily target technology and artificial intelligence teams with 1,200 role reductions, while transformation and operations will lose 780 positions.
The lender expects to incur a $300 million restructuring charge this year to achieve the planned operational changes.
Following the announcement, the National Australia Bank share price was unchanged at $41.31.
The bank spent $737 million on professional fees last financial year, representing a 14% increase compared to 2024.
The company stated that executive leaders are working to roll back the overall use of external consultants across all divisions.
