amibovered Posted January 14, 2012 Share Posted January 14, 2012 Hmmm, not sure what to make of this, but it can't be a good thing. http://www.abc.net.au/news/2012-01-14/finance-sector-woes-raise-recession-fears/3772712/?site=sydney Link to comment Share on other sites More sharing options...
Guest guest59177 Posted January 14, 2012 Share Posted January 14, 2012 More gloom mongering unfortunately. The first para says it all: There are warnings that Australia is on the verge of a white-collar recession, with thousands of jobs at risk in the finance sector. It seems to imply that the only white-collar jobs (or at least most of them) are in the finance sector. And it de-emphasizes the fact (though it notes it further down) that areas like 'risk' are seeing large growth. And it only talks about two banks - one of them, the RBS, is NOT Australian but rather English, and is facing troubles around the world; it has nothing to do with the Australian economy. Link to comment Share on other sites More sharing options...
amibovered Posted January 14, 2012 Author Share Posted January 14, 2012 More gloom mongering unfortunately. The first para says it all: It seems to imply that the only white-collar jobs (or at least most of them) are in the finance sector. And it de-emphasizes the fact (though it notes it further down) that areas like 'risk' are seeing large growth. And it only talks about two banks - one of them, the RBS, is NOT Australian but rather English, and is facing troubles around the world; it has nothing to do with the Australian economy. So you reckon that thousands of jobs at risk in the finance sector is nothing to do with the Australian economy? oh and the one Aussie bank is talking of shedding 1000 jobs by the end of the year and other banks will probably follow, all good then, no worries. Link to comment Share on other sites More sharing options...
Guest debbie67 Posted January 14, 2012 Share Posted January 14, 2012 just like uk then ! could this mean interest rates fall ? Link to comment Share on other sites More sharing options...
Guest guest59177 Posted January 14, 2012 Share Posted January 14, 2012 So you reckon that thousands of jobs at risk in the finance sector is nothing to do with the Australian economy? oh and the one Aussie bank is talking of shedding 1000 jobs by the end of the year and other banks will probably follow, all good then, no worries. That the RBS is shedding jobs, is not a direct outcome of Australia's economic malaise. It could contribute to it, yes, but it does not mean the economy is already gutted. Of course, other evidence could add up to portray such a picture, but what I am saying is that the article isn't present very solid argument. The article nowhere says that any bank is shedding 1000 jobs or that other banks will 'probably follow'. All it says is: The ANZ Bank is planning to slash hundred of jobs and the Royal Bank of Scotland is putting its Australian division up for sale. The ANZ is planning hundreds of lay-offs over the first half of the year, while Westpac last year told investors that it would probably end this financial year with less staff than it started it.Other banks have instituted pay or promotions freezes.And the futures of around 400 Royal Bank of Scotland staff in Australia hang in the balance as the bank looks for a buyer for most of its local investment banking arm. It is definitely not good news but you can't say 'Australia is facing a white-collar recession'. Link to comment Share on other sites More sharing options...
Guest guest59177 Posted January 14, 2012 Share Posted January 14, 2012 just like uk then ! could this mean interest rates fall ? The signals we are getting is that the RBA would be slashing the rates but please remember that is in the context of the larger economy NOT because a couple of banks are doing job cuts. Link to comment Share on other sites More sharing options...
amibovered Posted January 14, 2012 Author Share Posted January 14, 2012 That the RBS is shedding jobs, is not a direct outcome of Australia's economic malaise. It could contribute to it, yes, but it does not mean the economy is already gutted. Of course, other evidence could add up to portray such a picture, but what I am saying is that the article isn't present very solid argument. The article nowhere says that any bank is shedding 1000 jobs or that other banks will 'probably follow'. All it says is: It is definitely not good news but you can't say 'Australia is facing a white-collar recession'. But it does say in the The Age newspaper that he ANZ is planning to shed 1000 jobs by the end of the year, and my sister in law who works as a corporate lending manager for one of the big 4 banks confirms that things are not looking too great, but as usual it seems that the people that don't live in Australia know more that the people that do. Link to comment Share on other sites More sharing options...
Guest guest59177 Posted January 14, 2012 Share Posted January 14, 2012 But it does say in the The Age newspaper that he ANZ is planning to shed 1000 jobs by the end of the year, and my sister in law who works as a corporate lending manager for one of the big 4 banks confirms that things are not looking too great, but as usual it seems that the people that don't live in Australia know more that the people that do. Well I am not saying I know more about Australia, I was just dissecting the article. And the article also says this: But Mr Markiewicz says it is not all doom and gloom."Some of the stronger areas are probably legal, risk, compliance, collections, processes," he said. "Business improvement really; areas to drive costs down and drive efficiency and lessen the amount of risk." Link to comment Share on other sites More sharing options...
amibovered Posted January 14, 2012 Author Share Posted January 14, 2012 Well I am not saying I know more about Australia, I was just dissecting the article. And the article also says this: Ah well mate, lets hope things go OK, the article that movingtomelbourne posted is quite illuminating, I think it could go either way at the moment but there is no doubt things are slowing down, as to how much and how slow, only time will tell, but if you are living here it's certainly something to be mindful of, that said hopefully we're in one of the best places to weather the financial storms to come this year. Link to comment Share on other sites More sharing options...
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