ANZ secretly pushing customers out of branches, whistleblower claims
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We all need a helping hand sometimes, especially when it comes to our finances. Going to a brick-and-mortar bank branch often gives you the assistance and reassurance you need, with friendly staff who provide a personal touch.
But have you ever been prevented from seeking assistance from a bank branch, and instead been encouraged to use digital or automated channels instead? It appears ANZ has been doing exactly this—at least, according to a whistleblower.
Phillip* worked at an ANZ branch in a metropolitan area, and he told news.com.au that staff were directed to make customers serve themselves through digital means when they came into the bank.
'We were told to have a “digital-first mindset”, and to direct customers to use the in-branch ATM or telephone to do their banking, or to even do banking at the ATM for customers—because these transactions would not be counted in the branch’s service stats,' Phillip said.
The implications of such a practice are huge—it could lead to customers believing that digital channels really are best for their banking needs—when they may have been encouraged to think so the entire time. Worse, Phillip claims that ANZ has used their data from the alleged practice to justify branch closures around the country.
In July, ANZ CEO Shayne Elliott told the House of Representatives Standing Committee on Economics that the bank had closed 287 branches across Australia since mid-2017. He said the closures were supported by customer behaviour, adding that 'a lot of people bemoan the fact that branches are closing but they don’t actually use them'. But Phillip said he 'questioned the validity' of ANZ’s stats.
And that’s not all, Phillip also alleged that he and other staff received emails from a senior with directives like: 'Over-the-counter traffic is up this month, don’t let it get away from you' and 'try not to do any card activations in the branch this month'.
He added that other instructions were delivered verbally such as 'that all transactions under $1000 must be done using an ATM'.
Phillip said long queues for service were a common sight in his branch, with only one of the workstations being staffed the entire time. 'Customers would rightly be disgruntled at the lack of tellers,' he said.
He said the directives left staff 'frustrated' by their inability to help customers and that older customers were among the biggest losers. He added that his branch would receive a 'massive influx on pension day of customers with old school passbooks' after a nearby branch was converted into an ‘assisted services branch’, which had no tellers or over-the-counter services.
Phillip said he was forced to quit due to the lack of service for customers. 'My supervisor directly said to me “if customers want service, it’s on our terms”. That’s the day I quit,' he said.
However, an ANZ spokesperson denied the former branch staff member’s allegations.'This account does not reflect how our branches or our people are encouraged to operate,' the spokesperson said.
In October, new figures from the Australian Prudential Regulatory Authority (APRA) revealed that in the 12 months to June 2023, 424 bank branches—or 11 per cent of Australia’s overall branches—disappeared.
As traditional financial institutions continue to ruffle feathers with their shift to cashless service, it’s crucial to understand the wider context of the banking industry's move towards digitalisation. This seismic change is invariably driven by the evolution of technologies, customer expectations, and banking trends worldwide.
Banks, in general, have been leaning increasingly towards self-service and automation to streamline their operations. ANZ is not the sole adventurer on this path, as traditional financial institutions globally are racing to embrace digital transformation.
The COVID-19 pandemic has also played a significant role in this shift, inadvertently converting several long-time branch-goers to online banking. Forced to adapt due to quarantine restrictions, many customers discovered the ease and convenience of digital banking and may never fully revert to traditional banking means.
Yet it’s not all rosy in the virtual banking garden. Critics argue that moving banking entirely online could alienate older or less digitally adept customers, who may struggle with the technology. Furthermore, the issues of data security and potential financial scams that thrive online pose challenges for the digital banking world.
The transition from conventional banking to a digital model is complex, with strong arguments on both sides. It's clear that as this shift continues pace, banks and financial institutions must be mindful to cater to the diverse needs of their customer base–managing a careful balance between pioneering the future and upholding the essence of traditional customer service.
Are you an ANZ customer or bank worker who has experienced something similar? We want to hear from you—please share your thoughts in the comments section below!
But have you ever been prevented from seeking assistance from a bank branch, and instead been encouraged to use digital or automated channels instead? It appears ANZ has been doing exactly this—at least, according to a whistleblower.
Phillip* worked at an ANZ branch in a metropolitan area, and he told news.com.au that staff were directed to make customers serve themselves through digital means when they came into the bank.
'We were told to have a “digital-first mindset”, and to direct customers to use the in-branch ATM or telephone to do their banking, or to even do banking at the ATM for customers—because these transactions would not be counted in the branch’s service stats,' Phillip said.
A whistleblower claims ANZ is deliberately pushing its customers out of branches. Image: Facebook / @ANZ Banking
The implications of such a practice are huge—it could lead to customers believing that digital channels really are best for their banking needs—when they may have been encouraged to think so the entire time. Worse, Phillip claims that ANZ has used their data from the alleged practice to justify branch closures around the country.
In July, ANZ CEO Shayne Elliott told the House of Representatives Standing Committee on Economics that the bank had closed 287 branches across Australia since mid-2017. He said the closures were supported by customer behaviour, adding that 'a lot of people bemoan the fact that branches are closing but they don’t actually use them'. But Phillip said he 'questioned the validity' of ANZ’s stats.
And that’s not all, Phillip also alleged that he and other staff received emails from a senior with directives like: 'Over-the-counter traffic is up this month, don’t let it get away from you' and 'try not to do any card activations in the branch this month'.
He added that other instructions were delivered verbally such as 'that all transactions under $1000 must be done using an ATM'.
Phillip said long queues for service were a common sight in his branch, with only one of the workstations being staffed the entire time. 'Customers would rightly be disgruntled at the lack of tellers,' he said.
CEO Shane Elliot said branches are closing out cause people don’t actually use them. Image: Facebook / @ANZ Banking
He said the directives left staff 'frustrated' by their inability to help customers and that older customers were among the biggest losers. He added that his branch would receive a 'massive influx on pension day of customers with old school passbooks' after a nearby branch was converted into an ‘assisted services branch’, which had no tellers or over-the-counter services.
Phillip said he was forced to quit due to the lack of service for customers. 'My supervisor directly said to me “if customers want service, it’s on our terms”. That’s the day I quit,' he said.
However, an ANZ spokesperson denied the former branch staff member’s allegations.'This account does not reflect how our branches or our people are encouraged to operate,' the spokesperson said.
In October, new figures from the Australian Prudential Regulatory Authority (APRA) revealed that in the 12 months to June 2023, 424 bank branches—or 11 per cent of Australia’s overall branches—disappeared.
As traditional financial institutions continue to ruffle feathers with their shift to cashless service, it’s crucial to understand the wider context of the banking industry's move towards digitalisation. This seismic change is invariably driven by the evolution of technologies, customer expectations, and banking trends worldwide.
Banks, in general, have been leaning increasingly towards self-service and automation to streamline their operations. ANZ is not the sole adventurer on this path, as traditional financial institutions globally are racing to embrace digital transformation.
The COVID-19 pandemic has also played a significant role in this shift, inadvertently converting several long-time branch-goers to online banking. Forced to adapt due to quarantine restrictions, many customers discovered the ease and convenience of digital banking and may never fully revert to traditional banking means.
Yet it’s not all rosy in the virtual banking garden. Critics argue that moving banking entirely online could alienate older or less digitally adept customers, who may struggle with the technology. Furthermore, the issues of data security and potential financial scams that thrive online pose challenges for the digital banking world.
The transition from conventional banking to a digital model is complex, with strong arguments on both sides. It's clear that as this shift continues pace, banks and financial institutions must be mindful to cater to the diverse needs of their customer base–managing a careful balance between pioneering the future and upholding the essence of traditional customer service.
Are you an ANZ customer or bank worker who has experienced something similar? We want to hear from you—please share your thoughts in the comments section below!
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