NAB plans 6000 job losses in digital banking revamp

NAB plans 6000 job losses in digital banking revamp

NAB plans 6000 job losses in digital banking revamp

The announcement comes as the bank posted a cash profit of $6.6 billion for the 2017 full year, a small increase compared with 2016's $6.5 billion.

NAB has flagged the loss of 6,000 jobs as the impact of new technology and digital transactions cuts a swathe through traditional banking jobs.

Thorburn says the bank will automate processes and things will move to digital channels, so "we will need less people and as that happens we estimate that there will be 6,000 less people needed in three years' time".

The creation of 2,000 new digital-focused jobs will see a net reduction of 4,000 staff at the bank by 2020.

NAB said the results were "consistent" while it equally matched some analysts' expectations.

NAB shares ended 2.83 percent lower at AU$31.95.

NAB reported a 2.5% rise in its annual cash profit after tax of A$6.64bn, thanks to growth in business and domestic lending and stronger markets.

The bank released an upbeat outlook, underpinned by an anticipated upswing in business investment and government infrastructure spending.

As part of this major overhaul, NAB will also invest another $1.5 billion over the next three years - with "a lot going in to areas like technology and product".

"Some of our people will leave the bank, and we are announcing a new program, The Bridge, to support them", he said.

Interest rate levels have become a hot-button political and customer issue in Australia this year, with the corporate regulator pledging to investigate whether banks are using a push to curb a potential housing bubble as an excuse to profiteer through unnecessary mortgage rate rises.

That makes a steady full year payout of $1.98 a share and follows the decision by the ANZ next week to leave its dividends unchanged for the final half and full year. The bank said its statutory net profit rose to A$5.29 billion from A$352 million from the previous year when it took a one-off charge related to the sale of its British business.

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