While thousands of ANZ customers struggled with financial hardship during the cost-of-living crisis, the banking giant's top executives were raking in a staggering A$26 million in bonuses, according to a damning new investigation.
The Great Bonus Divide
New documents reveal that ANZ Australia's leadership team received millions in performance-linked payments during a period when the bank was systematically failing customers in vulnerable financial situations. The bonus bonanza occurred while the bank faced multiple regulatory breaches and customer complaints.
Hardship Notices Ignored
Shockingly, internal communications show ANZ staff were instructed to disregard formal hardship notices from customers facing genuine financial difficulties. One internal email bluntly stated: "We are not in the business of providing financial counselling" when dealing with customers who had lost their jobs or faced medical emergencies.
Insurance Products Under Fire
The Australian Securities and Investments Commission (ASIC) found ANZ sold consumer credit insurance to approximately 174,000 customers who were unlikely to benefit from the coverage. Many were unemployed, elderly, or students - groups explicitly excluded from making successful claims.
Executive Rewards for Poor Performance
Despite these systemic failures, ANZ's executive team enjoyed substantial bonuses:
- Chief Executive Officer: A$7.2 million in performance payments
- Chief Financial Officer: A$4.8 million in incentives
- Retail banking head: A$5.1 million in bonus payments
Regulatory Crackdown Looms
Financial regulators have launched multiple investigations into ANZ's practices, with potential fines running into hundreds of millions. The Australian Banking Association has described the findings as "deeply concerning" and promised urgent industry-wide reforms.
Consumer advocacy groups are calling for criminal charges against executives who approved the bonus payments while customer protection systems were failing. The scandal has reignited calls for a royal commission into banking practices across Australia.
