Bendigo Bank to Cut 188 Jobs in Tech Outsourcing Deal
Bendigo Bank has confirmed the elimination of 188 technology roles as part of a strategic outsourcing initiative aimed at reducing its cost base by $65 million to $75 million. The Finance Sector Union (FSU) revealed that the cuts, resulting from new agreements with Indian multinational Infosys and Genpact, will heavily impact the bank’s headquarters in Bendigo, Victoria. Approximately 155 employees will be transferred to Infosys, while 33 positions will be completely extinguished. The FSU criticized the move as a 'slash-and-burn program,' warning of devastating consequences for local communities and alleging inadequate consultation with staff. Union officials fear up to 1,000 jobs could eventually be lost. In response, Bendigo Bank stated the outsourcing aims to drive innovation and simplify operations, emphasizing a commitment to supporting affected employees with compassion. Analysts have largely welcomed the cost-cutting measures, suggesting they may help offset expenses related to the bank's ongoing response to a money laundering scandal. This development marks the first wave of reductions, with further announcements expected in the coming months.
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Bendigo Bank to Cut 188 Jobs in Tech Outsourcing Deal
Bendigo Bank has confirmed the elimination of 188 technology roles as part of a strategic outsourcing initiative aimed at reducing its cost base by $65 million to $75 million. The Finance Sector Union (FSU) revealed that the cuts, resulting from new agreements with Indian multinational Infosys and Genpact, will heavily impact the bank’s headquarters in Bendigo, Victoria. Approximately 155 employees will be transferred to Infosys, while 33 positions will be completely extinguished. The FSU criticized the move as a 'slash-and-burn program,' warning of devastating consequences for local communities and alleging inadequate consultation with staff. Union officials fear up to 1,000 jobs could eventually be lost. In response, Bendigo Bank stated the outsourcing aims to drive innovation and simplify operations, emphasizing a commitment to supporting affected employees with compassion. Analysts have largely welcomed the cost-cutting measures, suggesting they may help offset expenses related to the bank's ongoing response to a money laundering scandal. This development marks the first wave of reductions, with further announcements expected in the coming months.
theaustralian