Google Advertisement
Sydney, Oktober 21, 2026 – National Australia Bank (NAB) announced plans to cut 2,500 jobs by 2027, marking one of the largest workforce reductions in Australia’s banking sector in recent years.
The move comes as slowing credit growth and mounting operational costs pressure the country’s largest business lender to streamline its operations.
The cuts, representing about 6 percent of NAB’s global workforce, will primarily target corporate roles rather than customer facing positions.
Chief Executive Andrew Irvine stressed that the bank’s strategy remains unchanged, focusing on productivity, risk management, and efficiency.
Google Advertisement
He noted that the overhaul aims to simplify operations and reduce reliance on external consultants and contractors. By the end of 2026, 1,500 roles are expected to be eliminated, with the remainder phased out by 2027.
The restructuring will carry a significant financial impact, with NAB projecting a pre-tax charge of A$300 million in 2027, compared with A$80 million annually in 2025 and 2026.
As of September 2025, NAB employed nearly 41,880 people worldwide.
The announcement rattled investors, sending NAB shares down 2.5 percent on October 20, the sharpest decline among Australia’s “Big Four” banks.
The broader S&P/ASX 200 index also slipped 0.9 percent, reflecting wider concerns about the sector’s earnings outlook.
The Finance Sector Union (FSU) sharply criticized the decision, calling it “a wrecking ball to 6 percent of one of Australia’s largest workforces this close to Christmas.”
Union leaders argued that the cuts would not simplify NAB’s operations and highlighted the disconnect between management’s assurances and employees’ lived realities.
NAB’s move mirrors similar restructuring efforts by rival ANZ, which announced plans to cut 3,500 jobs by September 2026.
Both banks are grappling with weaker housing credit demand, driven by federal property tax reforms that have cooled investor appetite and homebuyer activity.
Rising interest rates, regulatory changes, and intensifying competition have further squeezed margins.
For NAB, the challenge lies in balancing cost discipline with maintaining customer trust and market confidence.
Investors will closely watch whether the bank’s sweeping overhaul delivers sustainable earnings growth or deepens skepticism about the resilience of Australia’s banking sector.
