Bendigo Bank Flags Job Cuts as it Invests in AI and Technology Partnerships
Bendigo and Adelaide Bank has announced a major restructuring that will lead to significant job cuts as it pivots toward artificial intelligence and high-tech global partnerships.
The regional lender confirmed on Thursday, April 9, 2026, that it has signed two landmark strategic deals with global firms Infosys and Genpact.
The bank expects to incur upfront transition costs of $85 million to $95 million through the 2027 financial year to implement these changes, which form the second phase of its “productivity program.”
While the bank has not confirmed the exact number of redundancies, the Finance Sector Union (FSU) has warned that the impact could reach “into the hundreds,” with some estimates suggesting up to 1,000 roles may eventually be affected.
Savings Expected from Automation and Process Changes
Chief executive Richard Fennell stated that the transformation is a necessary step to modernize the bank’s aging infrastructure.
The move is projected to deliver annual savings of $65 million to $75 million by the 2028 financial year.
“Decisions that impact our people are never easy,” Fennell said. “The operational efficiencies delivered through this change will support our previous guidance of keeping business-as-usual expenses no higher than inflation.”
The FSU has strongly condemned the move, with national secretary Julia Angrisano describing the deal as a “dramatic escalation” of Australian jobs being replaced by AI and offshore labor. The union expects cuts to hit several departments, including:
- Technology and IT Service Delivery
- Lending Assessment and Fulfilment
- Agribusiness and Business Lending
- Financial Crime and Contact Centre Operations
Broader Shift Across the Banking Sector
The announcement follows a wider trend of “AI-driven restructuring” across Australia’s Big Four. In March 2026 alone, NAB cut 170 roles while expanding its offshore hubs, and Westpac trimmed over 200 positions.
Commonwealth Bank also recently faced union pressure over its use of “voice bots” to replace customer service staff.
Long-Term Technology Focus
Infosys (7-year deal): Focused on improving IT delivery and providing Bendigo Bank with access to global “AI talent” and advanced software engineering.
Genpact (6-year deal): Aimed at “process optimization,” utilizing data insights and AI to manage risk and streamline back-office operations.
The bank’s share price rallied nearly 9 per cent following the announcement as investors reacted to the projected long-term cost savings.
