The Finance Sector Union is accusing Commonwealth Bank of using redundancies to quietly move Australian jobs to its Indian operations. The union claims the bank is trying to tap cheaper labour overseas after announcing 276 job cuts last week across several areas.
The union argues that the timing of new roles advertised in India, which mirror local jobs, raises serious questions about the bank’s intentions.
According to the Finance Sector Union, Commonwealth Bank told staff it would shed 176 technology and engineering roles as part of the restructure. It also plans to cut nearly 100 positions across business banking, institutional banking and markets, human resources and retail banking and support teams.
The bank reportedly cited “workflow automation” and “streamlining” as key reasons for the reductions. Those explanations are now under scrutiny as the union tracks hiring activity offshore.
Union officials say that shortly after the local job cuts were outlined, Commonwealth Bank posted openings at its Indian service hub that used similar titles and responsibilities. That pattern is fuelling claims that the redundancies are not genuine, but a vehicle to rebase work to a lower-cost market.
Union concern is sharpest in technology and engineering, where specialised roles are often easier to replicate offshore. It also extends to client-facing and support functions that have traditionally been based in Australia.
Commonwealth Bank’s push to streamline operations through technology overlaps with a strategy to expand offshore capacity. For unions, the fear is that automation becomes a catch-all justification for replacing Australian staff with cheaper overseas labour.
