Australia and New Zealand Banking Group (ANZ), one of the country’s largest financial institutions, has issued a formal warning to employees that failure to comply with its office attendance policy could result in reduced compensation.
The directive, communicated through an internal memo to managers on August 28, outlines a tiered system linking in-office presence to salary increases and variable pay eligibility.
The bank’s hybrid work policy requires employees to spend at least 50% of their scheduled work hours in an ANZ workplace.
Those who fall short of this threshold—without an approved exemption—may face financial consequences, including reduced bonuses and ineligibility for salary hikes.
Four-Tier Attendance Framework Introduced at ANZ
The memo details a four-tier framework based on employee attendance records:
- Less than 20% office attendance: Employees will not be eligible for any salary increase unless they have a valid exemption.
- 21% to 40% attendance: Managers may reduce variable pay by up to 50%, depending on an employee’s seniority and performance.
- 41% to 49% attendance: No immediate pay cuts, but managers are instructed to assess reasons for non-compliance.
- 50% and above: Full eligibility for salary increases and bonuses, assuming other performance criteria are met.
ANZ has also deployed a tracking tool to monitor attendance, with managers receiving detailed reports covering employee presence from October 2024 to July 2025.
Leadership Signals Shift Under New CEO
The policy update comes amid a broader organizational overhaul led by ANZ’s new CEO, Nuno Matos, who assumed the role in July 2025.
Nuno has emphasized productivity, accountability, and cultural reform as key pillars of his leadership strategy.
ANZ introduced the attendance-linked pay policy to reinforce workplace discipline and improve team engagement.
“Most people are meeting our expectation of spending at least 50% of their scheduled work time in an ANZ workplace,” the memo stated.
“As a people leader, you play a critical role—not just at performance time, but throughout the year—in reinforcing expectations and addressing low attendance early”.
Employee Reactions and Operational Implications
The policy has sparked mixed reactions among ANZ staff.
While some acknowledge the need for clearer expectations, others have raised concerns about flexibility, work-life balance, and the fairness of linking compensation to physical presence.
The bank has not announced any layoffs in connection with the policy, but the timing coincides with internal restructuring and recent communication missteps, including an email error that prematurely informed some employees about laptop returns ahead of job loss notifications.
Corporate governance experts suggest that the policy may help reinforce accountability but caution against over-reliance on rigid attendance metrics, especially in roles where productivity is not location-dependent.
Note: We are also on WhatsApp, LinkedIn, and YouTube to get the latest news updates. Subscribe to our Channels. WhatsApp– Click Here, YouTube – Click Here, and LinkedIn– Click Here.
