Westpac Banking Corporation is gearing up for its most significant round of job cuts in a decade, with plans to reduce over 1,500 roles as part of a sweeping transformation strategy aimed at lowering costs and modernising operations. This information comes from a report by the Australian Financial Review, which cited unnamed sources familiar with the bank’s plans.

The upcoming restructuring is integral to Westpac’s internal “Unite” strategy, designed to streamline the bank’s operations and accelerate technological upgrades. This initiative follows a period of leadership change and strategic shifts since Anthony Miller assumed the role of CEO in December 2024.

Miller has already begun reshaping the bank’s senior management team, most notably by appointing Nathan Goonan, formerly of National Australia Bank Ltd, as Westpac’s Chief Financial Officer. According to the Australian Financial Review, Miller has tasked managers with exploring a 5% reduction in headcount across most departments. Given Westpac’s latest reported full-time workforce, this reduction would equate to approximately 1,700 roles, pending final confirmation.

These proposed cuts would come on top of 900 job losses the bank enacted in the previous financial year, marking a continuation of its efforts to reduce operational costs amid a changing market environment.

A Westpac spokesperson commented on the plans, stating, “While we continue to invest in extra bankers and customer-facing roles, other programmes and initiatives may need fewer resources.” The spokesperson further added, “This means from time to time we make changes that may impact some roles and responsibilities as we actively manage costs and investment.”

Headquartered in Sydney, Westpac has been under increasing pressure to control expenses as it shifts its focus towards lower-margin business lending—a strategic pivot that has started to impact its earnings. The bank’s financial results, released earlier this month, revealed challenges that have been reflected in the share price, which has declined by over 5.8% since the announcement.

The planned job cuts and restructuring reflect a broader trend in the banking sector, where traditional institutions are balancing cost efficiency with investment in technology and customer service to remain competitive. For Westpac, the “Unite” strategy aims to deliver these changes while maintaining its commitment to customer-facing roles, even as back-end and support functions face downsizing.