People's bank scraps people

Three thousand seven hundred workers will lose their jobs after being 
identified by Commonwealth Bank CEO David Murray as "unnecessary", in one 
of the largest culls of workers in recent times.

The Finance Sector Union (FSU) has called on Murray to "move on" claiming 
the decision to sack 10 per cent of the workforce shows he has run out of 
ideas for staff, customers and shareholders.

"The `People's Bank' has reverted to the decade-old process of slashing and 
burning staff for short-term gains in share price as Murray tries to spin 
the announcement as being the result of consultation with staff that will 
bring about better customer service", FSU National Secretary, Tony Beck, 
said.

But Beck says no staff asked Murray to sack 3700 of their colleagues and 
customers know that sacking staff won't lead to better service.

"It's an affront to the intelligence of CBA staff and the broader community 
for David Murray to try and suggest that this is an exercise in creating 
better customer service", Beck said.

The reality is that the CBA, along with other major banks, has plans to 
terminate customers as well as staff.

Bank customers are continually experiencing fee increases, rises in credit 
card costs as well as long queues.

These changes are not just about making money out of every individual 
transaction but are designed to drive some customers right out of the bank.

The banks are moving towards differential treatment of customers.

When they talk about tailoring services to customer needs, they mean that 
the service customers receive and what they are charged will depend on how 
profitable that customer is to the bank.

If you have a few million dollars to invest, an investment adviser will 
visit your home and personally monitor your investments.

But if you are what the banks call a "bozo" (below zero value), say a low 
wage worker with a credit card and a bank account for receipt of wages, 
then the bank does not want you.

It all depends on individual revenue potential to the bank — the 
profitability per customer. Every customer must be a source of profit.

The CBA has embarked on a "major transformational program" which, according 
to its full page ads in the weekend media, will deliver growth in profits 
per share of 10 per cent over a three year period.

The FSU will be meeting with members across the country to determine their 
response to the bank's announcement.