ANZ (ASX: ANZ) is attempting to bolster its profit by announcing that 70 call centre jobs in Melbourne will be sent overseas, replaced with positions in New Zealand.
Financial services and banking are two of Australia's fastest growing industries, allowing the local economy to remain competitive on the world stage and throughout Asia particularly. However, last week ANZ said that staff at its Dorcas Street office in Melbourne will be shifting to New Zealand.
The bank said that the shift would not result in redundancies but many, like Finance Sector Union national secretary Leon Carter, said he did not believe the bank when it said it did not expect layoffs. Almost 2,000 finance jobs have been sent overseas so far this year Mr Carter said.
The numbers continue to add up. Over the past five years, approximately 5,000 finance jobs have been axed. In the six months to March, ANZ has cut 820 jobs and delivered a stellar $3.18 billion profit.
Telstra (ASX: TLS) is expected to join the likes of QBE (ASX: QBE) and Ford (NYSE: F) by shedding some of its 35,000 domestic jobs in a restructure across the entire company. Last week, Ford Australia announced the closure of its local manufacturing plants which will result in the loss of 1200 jobs. If that wasn't enough, Swan Services also said its entire 2,500 staff will be laid off.
Foolish takeaway
The top Australian banks and finance institutions have continually impressed investors with record profit and revenues by cost cutting and offshoring jobs. It seems Australians are unaffected by the ability of the banks and big companies to treat their employees as an "expendable commodity" to drive profit. The lower prices we pay will inevitably catch up with us and unless we can withhold our valuable resources and services, the long term view of the Australian economy looks bleak.
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Motley Fool contributor Owen Raszkiewicz owns shares in ANZ.
