Despite a relatively weak consensus from the G20 leaders on financial reform and safeguards against financial downturn, Australians keen for banking reform must not give up the fight, said the Finance Sector Union today.

National Secretary Leon Carter said if anything, the lukewarm decision meant that Australia still had the potential to lead the world by implementing a range of important bank reforms.

“Already we have made a good start in Australia, with the Minister for Financial Services, Superannuation and Corporate Law Chris Bowen’s announcement yesterday that  a range of National Consumer Credit Laws will be implemented from July 1.

“This and the establishment of ASIC to monitor the fairness of bank mortgage exit fees are all steps in a direction that Australia needs when it comes to banking.

“We would encourage the Federal Government to consider a range of additional reforms such as:

• Addressing the unhealthy sales target culture that has dominated banking practice, which merely serves to increase personal debt;
• Addressing the problem of off-shoring and the leak of Australian skills and development that it causes, and
• Ensuring that all interest rate rises reflect the Reserve Bank’s decisions
• Prohibit the bonus culture that rewards risky short-term executive behaviour
• Pass the legislation that requires customer notification when their personal data is sent overseas.

“We know from our research that 77 per cent of Australians agree that we should be advocating for new, global rules to prevent high-risk banking activities as part of the world economy.

“Whilst the pursuit for better banking in Australia is not yet over, we are starting to head in the right direction, but more needs to be done to achieve the balance of banking that represents the needs and requirements of customers, workers and business.

“This balance can certainly be achieved with the implementation of banking sector reforms that will see to better banking for all,” said Mr Carter.

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Spokesperson: Leon Carter, National Secretary, 0409 946 597
Media: Anaya Latter, 0432 121 636