‘Until today, it’s been a lovely place to work’: NAB workers voice concerns as India, Vietnam teams expand

National Australia Bank (NAB) employees have raised concerns over job security, offshoring and a proposed workforce restructure after the bank announced plans to cut thousands of roles, with some workers saying the changes have created anxiety about their future, as per ABC.

The bank plans to eliminate 2,500 roles by June 2027, including 1,500 before Christmas. 

Dylan, an employee who has worked in NAB’s technology team for a decade, told ABC News that he had learnt his job could be at risk by the end of the year.

"Until today, it's been a lovely place to work," he said.

His team is facing a process known as “spill and fill”, in which existing positions are made vacant and employees must reapply for a smaller number of roles. 

The team has been given a two-week consultation period, with affected employees potentially leaving on 2 or 17 December.

NAB staff raise concerns over offshoring

The proposed job cuts have fuelled concerns among employees about the expansion of NAB’s offshore operations, particularly in India and Vietnam, while Australian-based roles are reduced.

According to a workforce plan reviewed by ABC News, NAB’s technology team is expected to shrink from just under 500 employees to 400 by the 2027 financial year, with a greater share of roles shifting offshore.

Another employee, identified as James, said he had resigned from his business banking role shortly before the announcement, citing concerns about the future of his position.

He shared an email sent by NAB in March that referred to "expanding out teams in NAB India" as part of efforts to digitise and simplify processes.

"People are feeling the anxiety," he said, adding that he had moved to a service-based industry because, "I can't be replaced realistically for the next five to 10 years."

AI and cost pressures add to workforce uncertainty

While NAB did not directly identify artificial intelligence (AI) as the reason for the job cuts, its announcement referred to “rapid technological change”, prompting questions about the technology’s impact on employment.

MST Financial analyst Brian Johnson said businesses were increasingly willing to reduce headcount as technology improved productivity.

"We're probably approaching the point where it becomes more politically palatable to actually shed staff than perhaps it was even six months ago," he said.

"Technology will supplant a lot of functions at jobs. You can just do things better and faster."

However, recruiter Clinton Marks of Robert Half said recent banking redundancies appeared to be driven more by cost-cutting and organisational restructuring than by direct AI replacement.

Marks said senior executives were "under great pressure to reduce cost" and that "AI is an answer to those questions". He added that most organisations were not yet ready for large-scale AI deployment, while demand remained strong for skills in cyber security, governance, risk, compliance and AI adoption.

NAB expects the restructuring to cost around A$300 million. In its announcement to the Australian Securities Exchange, the bank said the changes would "simplify its operating model and better align its workforce to prioritise growth and technology initiatives for customers".

Union criticises timing of job cuts

The Finance Sector Union (FSU) has criticised the scale and timing of the planned redundancies, arguing that the cuts could increase workplace anxiety ahead of Christmas.

"Cutting 6 per cent of a workforce will not simplify NAB's operating model or better align its workforce to prioritise growth," said Nicole McPherson, the union’s national assistant secretary.

"It will wreak chaos and entrench a culture of anxiety at a bank that seems hell-bent on self-destruction.

"To take a wrecking ball to 6 per cent of one of Australia's largest workforces this close to Christmas is disgraceful and shows that NAB's leadership is completely detached from the lived experience of their workers."

NAB’s planned cuts come amid wider workforce restructuring across Australia’s banking sector. ANZ has eliminated thousands of jobs through a major restructure, while Bendigo and Adelaide Bank proposed cutting 137 positions in September. 

The FSU has also reported around 1,000 job cuts at Commonwealth Bank so far this year.

The developments highlight growing concerns among banking employees over job security as financial institutions seek to reduce costs, expand offshore operations and adapt to technological change.