Westpac plans to close seven branches

Monday, 18 May 2020

Branches were only open for limited hours during lockdown, but now it's back to business as usual, Westpac planned to close six branches, redeploying employees to other branches.

Westpac has told staff it planned to close seven branches, with employees redeployed to other branches.

The branches slated to close include two in Auckland, two in Christchurch, one in Tauranga and one in Invercargill.

The Co-operative branch also planned to close some of its branches, including its branch in Queen Street in Auckland central business district, Stuff understands.

The planned branch closures follow a proposal from BNZ to close branches in Parnell, Penrose, Glen Eden, and Queen Street in Auckland, Karori in Wellington, and the Christchurch branches of Cashel, Fitzgerald and Russley.

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The Auckland Westpac branches proposed for closure are the Mount Eden branch, and the branch in Whangaporoa, with staff from the Whangaparoa branch to be redeployed to Silverdale.

In Christchurch, the St Martins and Halswell branches are to close. Westpac also planned to close its Invercargill South branch, and one of its 'Help Stations' in Tauranga. Also to close was the Wellington Karori branch.

Westpac was not making offers of redundancy to employees, and instead was offering to redeploy them.

Westpac spokesman Will Hine said the bank was closing three sites and consulting with staff on changes to four others, and all employees working at these sites were being offered roles at nearby locations.

'The Invercargill South branch will close due to the fact it does not meet our earthquake standards. There are two other Westpac branches located nearby.

'The other proposed changes are due to an increasing number of Westpac customers choosing to do their banking on their computer or mobile device. This trend only increased during our recent Covid-19 lockdown as more people chose to bank remotely.'

The Co-operative Bank, which is owned by its members, has proposed to close three of its branches.

Staff from the Queen Street branch will be offered positions in the bank's Onehunga or Manukau branches. The bank also planned to shut its Porirua branch in the Wellington region, and its Papanui branch in Christchurch.

30072019 Chris McKeen/STUFF: BNZ bank, Queen St, Auckland

Kate Necklen, general manager for marketing and products at Co-operative Bank, said: 'We are consulting with staff on the potential closures of three metropolitan branches.

'The proposed changes reflect the declining personal visits prior to Covid-19, and it is likely that all staff will have the opportunity to relocate to other branches.'

Banks have been central in households weathering the early weeks of what looks certain to be a dreadful two years for employment. On Monday, the number of home loans and other kinds of loans on which borrowers had taken repayment 'holidays', or reduced their repayments, as a result of losing incomes in the early weeks of the economic crisis caused by Covid-19 passed 110,000 for the first time.

Figures from the New Zealand Bankers' Association showed 113,016 loans had borrowers paying less than their scheduled repayments. Combined the loans were for just over $38 billion.

Defending the closure of branches, BNZ said: “We continually review the footprint of our branch network to best meet the needs of our customers.'

“The branches that we’re considering making changes to have seen significant declining usage as digital or other nearby branches that are within a 10-minute drive, are utilised instead.'