Tom Parry
WESTPAC has been lambasted and accused of “robbing” the community over its decision to close its Sale branch.
The banking giant has confirmed to the Gippsland Times that it will be closing its Raymond Street branch on May 19.
The same spokesperson cited growth in online banking services and “changing expectations” of customers as reasons for the closure.
“Our customers are using branches less, for fewer reasons, and choosing to use digital banking more often,” the spokesperson said.
“Our service approach is responding to customer preference.”
Customers were first informed of the closure from Monday, February 6 via a combination of SMS, letters and in-branch notifications, while staff at the branch were informed on the Monday prior, January 30.
“We have a robust process in place to assist employees to find new opportunities within Westpac Group, meaning the majority of employees affected secure a new role and continue their career in the group,” the spokesperson added.
“Where an employee doesn’t secure a role to stay with Westpac Group, we’ve financial and tailored career transition support available to help them secure employment elsewhere in the local community.”
Westpac’s decision has been roundly criticised, with Federal Member for Gippsland Darren Chester describing the move as “disrespectful” to their customers in Sale and surrounding towns that rely on having a bank branch.
“This decision leaves vulnerable customers who aren’t able to use digital banking services badly exposed to a lack of access to their own money,” Mr Chester said.
Mr Chester raised the issue of the closure in federal Parliament on Monday afternoon, going further in his criticisms by accusing city-based executives of having “contempt” for regional Australians.
“Forget about crooks wearing balaclavas; the real bank robbers are the executives making decisions in city boardrooms,” he told Parliament.
“These corporate bank-robbers are robbing country towns of jobs, they’re robbing vulnerable people of services and they’re robbing regional Australia of growth opportunities.”
State Member for Gippsland South, Danny O’Brien, has also criticised the decision.
“This is a disgraceful decision from a company that made a profit of $5.9 billion last year,” Mr O’Brien told the Gippsland Times.
“It is bad enough when branches are closed in small country towns, but in a city the size of Sale it is astounding.
“While more and more people are banking online, many locals still require face-to-face service.
“If Westpac won’t support our community, maybe customers should consider shifting to a bank that will.”
Photo: Tom Parry
When asked for comments, both Wellington Shire Council and the Sale Business & Tourism Association said they were unaware of the closure before being reached by the Gippsland Times.
Westpac said that it has “engaged with Wellington Shire Council” but did not offer any further detail.
A spokesperson for Council said that the closure of any local business was disappointing for the community who rely on their services.
“Council acknowledges the inconvenience and encourages affected customers to work with Westpac to utilise other banking methods, and consider different opportunities if they have a preference for personalised banking services,” the spokesperson said.
Sale Business and Tourism Association president, Julian McIvor, said the closure of the Westpac branch came as a surprise.
“The people I have spoken to, including current personal and business customers, had no idea it was happening and learnt about it from the local media,” Mr McIvor said.
“This is extremely disappointing considering the closure is only three months away.
“Westpac is a multi-national company that made more than $20 billion in revenue last financial year, it should have the ability to properly service smaller communities.
“Profit isn’t everything and the relatively minuscule savings gained through closing a branch like Sale is offset by the distrust and abandonment local communities feel.
“Online capabilities can never fully replace face-to-face assistance, and I would encourage locals to support the banks that provide service and show confidence in our community through a physical presence in our town.”
Echoing those sentiments, Mr Chester is also encouraging Gippslanders affected by the closure to, where possible, move their business away from Westpac.
“Move your business to a bank that still has a branch in your town,” he said in Parliament.
“It’s time to teach these bankers a lesson.
“Take your money across the street. Refinance your home loan.
“If Westpac executives only want to focus on their own huge profits, it’s time to hit them where it hurts.
“It’s time for customers to stop being held to ransom.
“It’s time for the corporate bank-robbers to receive a message.”
The Gippsland Times offered Westpac a response to Mr Chester’s comments, but the company refrained from doing so.
In light of the impending closure, Westpac is encouraging its customers to transition to its Bank@Post service, which is run through Australia Post.
“For those who are new to Bank@Post or digital banking, or may require more assistance with the changes, we provide dedicated support and education to make the transition easier,” Westpac’s spokesperson said.
Westpac customers affected by the closure are encouraged to call 132 032.
