Australia’s ANZ to axe 3,500 jobs as new CEO Matos pushes through major overhaul

ANZ Group is set to cut 3,500 jobs over the next 12 months in one of the largest restructures seen in Australia’s banking sector in recent years. The move, announced Tuesday, marks the first major step by new CEO Nuno Matos, who took charge in May after leading HSBC’s global personal banking and wealth operations.

The cuts, which account for about 8% of ANZ’s 43,000 workforce, will be accompanied by the termination of 1,000 contractor roles and a review of third-party agreements. The bank will book a restructuring charge of A$560 million as part of the plan.

Matos, speaking at the Financial Review Asia Summit in Sydney, admitted the decision was “ugly” but insisted it was necessary. “I hate to do this, but it’s for the future of the company,” he said. “These decisions are very tough to take. They affect our people and their families and should always be a last resort.”

The CEO stressed the layoffs were aimed at reducing duplication, cutting complexity, and aligning projects with the bank’s priorities. While customer-facing roles would remain largely unaffected, Matos said ANZ needed to move towards a stronger “performance-driven culture” and focus more on non-financial risk, particularly after past scandals highlighted gaps in oversight.

The news sparked criticism from unions and worker representatives, who called the cuts “out of control”. However, some analysts noted the move could improve profitability, even if the full benefits are unlikely to be realised until 2027 due to the phased rollout.

ANZ shares initially rose 1% on the news before slipping 0.5% to close at A$32.81. The bank is expected to provide further clarity on its strategy during a scheduled review on October 13.

The news comes amid a broader wave of restructuring across Australia, with major employers in banking, technology, and professional services announcing thousands of layoffs in the past year.