For immediate release

11 February 2011

Banks profits reward CEOs and shareholders – when is it Kiwis’ turn?

Bank workers’ union Finsec says the release of PwC data today showing the banks have returned to steady, high profits will provide little comfort to bank staff and customers who are still experiencing the effects of the crisis.

“The rewards from profits have been shared very generously with CEOs on multimillion dollar salary packages, and with Australian shareholders. But the Australian banks are leaving their New Zealand customers and staff in the cold,” said Finsec General Secretary Andrew Casidy.

“The banks have emerged relatively unscathed from the financial crisis, but thousands of unemployed New Zealanders are not in the same lucky position,” said Casidy.

“Profit figures are all too often accompanied by dwindling staff numbers in the industry. There has never been a better time for the banks to invest more in their staff and customers which would benefit not just them but the New Zealand economy as a whole,” said Casidy.

“We’re also concerned that interest rate margins are increasing at a time when customers can least afford it and that this is plumping up these profits,” said Casidy. “It’s not just profits that have survived the recession – globally, banks have also escaped any increased accountability for the way they operate.”

“Customers in Australia have had enough. Without changes, the day will come when New Zealand customers express similar dissatisfaction,” said Casidy.

ENDS 

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