ANZ Axes Institutional Banking Jobs

ANZ Bank has announced that it would cut some 50 jobs from its institutional and international banking business. The move is in response to weak credit demand and the decision of the bank to cut costs.

According to ANZ spokesman Paul Edwards, the cut would likely affect its Melbourne and Sydney branches. He added that the changes are a reflection of ANZ’s need to adapt with the changing conditions affecting institutional banking. The business has been affected by slow economic growth and the need to bring greater capital efficiency.

ANZ has a long history of implementing job and pay cuts to survive. Last year, some 1000 jobs were axed. Chief executive Michael Smith said the decision was brought about by a slump in ANZ’s loan growth.

This year, the ANZ spokesman said the cuts would be a combination of administrative and managerial functions. The international and institutional banking business would also be likely merged.

Aside from the job cuts, the bank also announced last month that some 70 back-office jobs would be transferred to India.