In a significant shift towards modernization, Bankwest has announced its plans to transition into a fully digital banking model by 2024. This transformation aims to enhance investment in digital services and better meet the evolving needs of homeowners across Australia.
As part of this transition, Bankwest will close 45 of its branches by October 2024, a decision driven by changing customer behaviors. Presently, a remarkable 97 percent of Bankwest transactions are conducted online, with branch visits declining to less than two percent among customers.
Bankwest's Executive General Manager, Jason Chan, acknowledged the challenges posed by this move. "I understand this will be difficult news for some of our customers and Bankwest is introducing a range of support measures to help our customers who are regular branch users carefully through this transition," said Chan. His commitment to customer support and employee retention throughout this change takes center stage.
The closure of branches will lead to the conversion of 15 regional Bankwest locations into Commonwealth Bank of Australia (CBA) branches. This restructuring is expected to bolster CBA's presence, giving it the largest bank branch network in Western Australia. Chan elaborated, "CBA will operate the largest bank branch footprint in WA with the extension of its support for personal and business customers in regional WA."
The transition will also impact the workforce, with 500 roles in technology, operations, and customer service expected to be redirected to WA, offering new career paths within the growing digital banking sector. Furthermore, every branch employee affected by the change will be presented with new career opportunities.
Recognizing the importance of customer care, Bankwest is actively reaching out to its regular branch users. This outreach includes introducing Bankwest Community Bankers in specific communities to provide face-to-face assistance and operational support during the transition. Additionally, a specialized team at Bankwest's WA-based 24/7 contact center will prioritize phone support for customers needing extra help.
"Looking ahead, customers will have a clear and distinct choice between CBA’s personal and business banking offering and national branch network, and Bankwest’s simple and easy digital and broker offering, focused on homeowners’ needs," Chan stated. This bifurcation ensures that customers will still have access to in-person services through CBA while embracing the advantages of digital banking.
For individuals requiring everyday banking services, Bank@Post offers access at over 350 Australia Post offices across WA, alongside ongoing fee-free access to CBA’s 132 ATMs in the region.
"Our branch colleagues have invaluable knowledge and experience, and they will all be offered opportunities to access the next generation of banking jobs so they can continue to support customers nationwide from in their own communities," Chan added. This commitment to reskilling and adapting the workforce speaks to Bankwest's dedication to its employees amidst structural changes.
Bankwest, founded 129 years ago, operates with the goal of becoming Australia’s favorite digital bank, providing competitive home lending and seamless banking solutions. "Bankwest is here to stay - our transition to a digital bank is unlocking significant investment from the CBA Group to create a world-class Bankwest offering and support our growth nationwide, powered by WA colleagues passionate about our customers," Chan affirmed.
As Bankwest prepares for this transformative chapter, it remains focused on supporting the Western Australian community and fostering partnerships that contribute to the region's growth. The transition occurs in a climate of increasing competition within the national banking sector, with Bankwest poised to leverage its long-standing presence in WA to ensure its ongoing relevance and success in the digital era.