BNZ employees are facing a reduction in workplace perks, including the loss of low-equity home loan premium waivers, according to the Workers First Union. While the bank maintains that its most popular benefits remain in place, union representatives describe the cuts as part of a broader, long-term industry trend of eroding staff financial benefits.
Why are bank staff benefits changing?
The Workers First Union, representing BNZ staff, reports that employees have recently lost access to several financial perks. Callum Francis, the union’s national finance organiser, stated that staff are no longer able to access waivers for low-equity premiums on home loans, nor certain account and application fee exemptions. These benefits were described by Francis as incentives that some staff specifically joined the bank to obtain.
BNZ has not provided a direct response to inquiries regarding these specific changes. However, chief people officer Matt Cullum told NZME that while adjustments were made to some banking benefits on 30 June, the bank continues to offer six weeks of annual leave, as well as subsidised health and life insurance.
While some banking perks are shrinking, major New Zealand banks still compete for talent using diverse packages that include wellbeing leave, volunteering days, and flexible financial support.
How does the industry compare?
The reduction in perks is not isolated to a single institution, according to the Workers First Union. Francis noted that over the last five to ten years, banks have consistently moved to “chip away” at traditional benefits like loan discounts. He argues that this strategy prioritizes capital allocation toward shareholders and executives over employee compensation.
Other major banks maintain different approaches to their employee value propositions:
- ASB: Provides a “choice component” allowing staff to select annual benefits tailored to their life stage, alongside standard offerings like KiwiSaver and health insurance.
- Westpac: Offers five days of wellbeing leave, school holiday subsidies, and paid parental leave. Westpac also states it was the first New Zealand bank to achieve Living Wage accreditation.
What is the future of employee benefits?
The shift away from traditional banking discounts toward more flexible, wellbeing-focused benefits appears to be the current industry trajectory. As banks modernize their HR policies, the focus has moved from product-based perks—such as waived fees—to broader support systems like EAP (Employee Assistance Programmes) and hardship support.
For employees, this transition represents a move away from the “banker’s privilege” of the past. As union organizers point out, the loss of these specific financial benefits is often felt acutely by staff who factored them into their long-term financial planning.
When evaluating an employment contract, look beyond “banking perks.” Assess the total value of leave entitlements, insurance subsidies, and professional development budgets, as these are increasingly becoming the standard pillars of corporate compensation.
Frequently Asked Questions
Are all bank employee benefits being cut?
No. According to statements from major banks, core benefits such as annual leave, health insurance, and life insurance remain in place. Changes appear to be focused on specific, discretionary banking product discounts.
Why are unions concerned about these changes?
The Workers First Union argues that these benefits were part of an implied agreement and that their removal without consultation undermines the value of working in the sector.
What are banks offering instead of traditional loan discounts?
Banks like ASB and Westpac are increasingly offering flexible, personalized benefits, including wellbeing leave, volunteering time, and financial support for specific life stages.
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