Having completed due diligence over the last two weeks, Westpac and St George have agreed to pursue their merger plans. Westpac expects to recover much of the $700 million the purchase will cost by reducing operational costs, mostly in back office processing and efficiency gains. While the number of people working in processing, product and support areas will be reduced, staff have been assured that efforts will be made to find displaced people new jobs within the organisation. Westpac has given a commitment that St George will operate as a stand-alone business with its branch network not reduced and corporate base in Kogarah retained.
