Accounting is considered as applied research which emphasizes on technologies and technical practices used by accounting practitioners in organisational settings. Accounting is the tool which assist firm in identifying the financial position of an organisation. Accounting is the method which also aid business entity in identifying the performance gap and also supports in planning the appropriate tactics or plans for improving the same. The present project has focus on analysing the fact behind cut off jobs by National Australian bank. Therefore, study will include financial analysis. As this will help an individual in recognising the root cause of the issue. Financial analysis is considered to be as a method to forecast future performance as well as identify weaknesses and problems faced by an enterprise.
Banking sector is growing rapidly from last few decades. Even the global financial crisis during 2008 did not have a major or significant effect on banking jobs in Australia. Approximately 167000 employees work in banking sector in Australia. Losses of job by such institution can lead to a high rate of unemployment in the nation. This factor will also have direct impact on the income level of the people in society and also on the economic condition of the country. It has been identified from the case study of National Australian Bank that as the fact is that bank is earning higher profit but still has announced job losses.
Top level management has announces the job losses by providing the reason that company is under pressure change its workforce (Hassard, Teoh, Visockaite, Dewe and Cox, 2018) But the actual reason behind job losses is the advancement in technology. This strategy is adopted by an enterprise in order to reduce expenses, other costs and increasing profitability. It has also been analysed from the case study that many of the banks including National Australian banking institution planning to replace employees or human resource with computers or technology. National Australian bank is earning higher profit and making investment in technology. This factor has direct as well as important effect on the numbers of workers in an organisation. Top-level manager in an enterprise has stated that in order to show sympathy to employees that advancement in technology and growing use of interned by the customers are forcing an organisation to bring this change at workplace.
Chief executive officers in an enterprise has also interpreted that internet is changing this which is considered to be positive, this is the reason the company has adopted this strategy to bringing change in working pattern. Another reason for the job losses that was given by management team in an enterprise is that an organisation is facing difficulty in providing quality services and satisfaction to their client (Wilde, 2017) Banking institution has adopted this plan for implementing the technology at workplace, by considering the fact that, use of technology will support firm in controlling as well as managing the transactions,It has been analysed from the financial statement of NAB that organisation cash profits have increased from September 30 which is approx. $6.47 billion in a year earlier on the back of a 2.6 % growth in revenue.
Top-level management team in banking institutions has stated that job losses are only the portion of $1.4 billion restructure which will assist firm in simplifying the business. Employees in NAB banks wore more concerned about the job losses, as working in an enterprise was only the source of income which is used by them for catering the need of their families. Workers al;so have ethical concerns and external stakeholders are more worried about the impact of these issues on their return. Investors are also exited to known the effect of the implementation of this strategy on employees as well as business performance. Human resource management team in an enterprise has crucial role to play reassuring the existing employees.
The management team in an organisation has planned to terminate those workers those who outspoken workers rights, suffering from temporary illness (Kinchin and Doran, 2017) Job cut strategy adopted by NAB has made human resource management task more complicated. Due to the high risk of legal obligations and human resource manager in an enterprise has to negotiate with both internal and external stakeholders.