In an statement on the ASX, BOQ managing director and chief executive Jon Sutton said the bank will look to at “reducing duplication and manual processes” throughout its organisational structure.
A BOQ spokesperson confirmed to InvestorDaily that the restructure could include a reduction in headcount at the bank.
“Where there is duplication we will try and manage the people impact of that through redeployment, closing vacant roles and natural attrition,” said the spokesperson.
The restructure will also take place within “all levels of the business”.
“Less so in the group executive team, because there have been a number of changes that over the past 12 months. But all levels of the organisation beyond that,” said the spokesperson.
The BOQ statement said the changes will cost the bank $15 million in the 2016 full-year period, which ends on 31 August 2016. The expense will not be excluded from cash earnings in the current financial year, according to the statement.
“We expect this investment in fine-tuning our operating model will help accelerate our path towards a cost-to-income ratio in the low 40 per cent range in the years ahead,” said Mr Sutton.
BOQ’s cost-to-income ratio for the 2015 full year was 46 per cent.
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