NAB employees say entire teams must compete for fewer positions after National Australia Bank announced it would eliminate 2,500 roles by June 2027. A leaked workforce plan points to a shift toward offshore staffing in one technology team.
Key Takeaways
- NAB plans to cut 2,500 roles, including 1,500 before Christmas, equivalent to about 6 per cent of its workforce.
- One technology team faces a two-week consultation period, with departing employees scheduled to leave on December 2 or 17.
- A leaked workforce plan would reduce one technology team's Australian-based share from 53 per cent to 40 per cent.
Table of Contents
- NAB job cuts put existing employees back into competition
- Leaked plan points to a larger offshore share
- Bank cites simplification as workers raise AI concerns
NAB job cuts put existing employees back into competition
Employees speaking anonymously described a restructuring process known as “spill and fill”, in which existing positions are vacated and employees must apply for fewer remaining jobs. Corporate roles are expected to bear the largest share of the bank-wide reductions.
One employee who has spent a decade in NAB's technology team said he could be unemployed by the end of the year. His team has a two-week consultation period, with December 2 or December 17 set as the final working day for those leaving.
Chief executive Andrew Irvine urged employees in a staff note to be considerate and check on colleagues, while indicating that support would be available to those personally affected.
Leaked plan points to a larger offshore share
A leaked workforce plan covers the technology employee's team, which currently has just under 500 people. Australian-based workers account for 53 per cent, while 14 per cent are based in India and 13 per cent in Vietnam; the remainder are external contractors.
Under that plan, the team would shrink to 400 people by the 2027 financial year. Australia's share would fall to 40 per cent, while India's would rise to 30 per cent and Vietnam's to 20 per cent.
A former business banking employee, who resigned days before the cuts were announced, shared a March email outlining an expansion of NAB's India teams. The email linked that expansion to digitising and simplifying processes, increasing automation and investing in global teams. He said changing internal messaging had undermined his confidence in the security of his role.
Bank cites simplification as workers raise AI concerns
NAB estimated restructuring costs at about $300 million. In its ASX announcement, the bank said the changes were intended to simplify its operating model and align staffing with customer-focused growth and technology initiatives.
Staff also raised concerns about artificial intelligence. NAB's market announcement referred to rapid technological change but did not directly mention AI.
MST Financial analyst Brian Johnson argued that replacing workers with AI was becoming more politically acceptable and that technology could perform many job functions better and faster. That assessment was the analyst's view, rather than an explicit explanation from NAB for the announced cuts.
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