The Strategist

Australian banks threaten to cut bonuses for remote working

11/24/2023 - 08:27

According to the Financial Times, one of Australia's biggest banks, ANZ, has informed its employees that if they work fewer than half of their hours in the office, their bonus payments may be reduced.

David McKelvey
David McKelvey
The newspaper refers to a letter that was sent this week to over 40,000 bank employees in Australia, New Zealand, India, and the Philippines. They were informed that during the current fiscal year, which ends in June 2024, office visits might have an impact on salary estimations.

"We expect that, on average, our people around the world spend at least 50 per cent of their scheduled working hours in the workplace," the letter stated. The bank's management feels that office visits will help "maintain the culture that ANZ is known for".

The bank is following in the footsteps of other Australian businesses, such as the nation's largest energy provider, Origin Energy, which has recently begun to tie bonus payouts to employee presence in the office in an effort to encourage workers to return to work once the pandemic is over. Earlier this year, Commonwealth Bank, a significant Australian bank, imposed a requirement on its staff to work at least 50% of the time in the office.