Commonwealth Bank Cuts Hundreds of Australian Jobs Amid Record Profits
The Commonwealth Bank of Australia (CBA) has announced significant workforce reductions in its home country while simultaneously expanding its operations in India. The decision, made public on Tuesday, will see approximately 300 roles eliminated across various departments including retail banking, business and institutional banking, and human resources, with technology teams being particularly affected.
Union Outrage Over Profit-Driven Redundancies
The Finance Sector Union (FSU) has expressed strong opposition to the job cuts, highlighting that they come just weeks after CBA reported a staggering $5 billion in half-yearly profits. Union national secretary Julia Angrisano condemned the move as "totally unacceptable," noting that the bank has consistently eliminated hundreds of positions while generating billions in profits.
"For years we have seen CBA continue to axe hundreds upon hundreds of jobs while raking in billions in profits," Angrisano stated. "These are the very workers who helped generate CBA's massive profits. The least the bank can do is retrain and reskill workers, and provide opportunities for them to remain at CBA."
The union also revealed concerning survey results from CBA employees, with 72% of staff expressing major concerns about job security and 74% reporting increased workloads over the past year. Half of the surveyed workers admitted they had considered leaving the bank.
Simultaneous Expansion in Indian Technology Hub
While reducing its Australian workforce, Commonwealth Bank has been actively recruiting in India, with more than 90 positions currently available at its Bangalore technology hub. The bank's career listings show openings in risk management, compliance, engineering, and advanced analytics roles.
This expansion represents a significant strategic shift, with CBA's India-based workforce growing by 21% to reach 6,788 employees in the year to June 2025. This marks a remarkable 138% increase since 2022, indicating a substantial long-term investment in Indian operations.
AI Implementation and Workforce Transformation
The Finance Sector Union has issued a warning regarding CBA's implementation of artificial intelligence across its operations, insisting that technological advancement must not come at the expense of secure employment. This concern reflects broader industry trends as financial institutions increasingly integrate AI systems into their workflows.
The union's warning comes amid similar developments across Australia's technology sector. Just one day after CBA's announcement, software company WiseTech Global revealed plans to cut 2,000 positions from its 7,000-strong workforce over a two-year period, primarily affecting product development and customer service departments.
WiseTech Global chief executive Zubin Appoo commented on the transformative impact of AI, stating: "I am prepared to say this clearly: the era of manually writing code as the core act of engineering is over. AI amplifies the productivity of our expertise in logistics and trade, the rich datasets that WiseTech holds, and the network advantage that we have built over 30 years."
Broader Implications for Australian Financial Sector
The contrasting approaches to workforce management—reducing positions in Australia while expanding in India—highlight ongoing debates about globalization, technological displacement, and corporate responsibility. As financial institutions navigate the transition to more automated systems, questions remain about how to balance efficiency gains with workforce stability and ethical employment practices.
The situation at Commonwealth Bank serves as a case study in how major financial institutions are restructuring their global operations in response to technological change, cost considerations, and market opportunities, often with significant consequences for domestic employment.
