Fintech killing bankers' jobs no problem for Australia

By David Tuckwell on Wednesday 24 May 2017

Savings and Investment

It's always been a controversial subject

Australia's Innovation Minister is unworried about fintech causing bankers to lose their jobs. 

Australians should be happy that technology will automate away thousands of jobs as it opens opportunities elsewhere, Innovation Minister Arthur Sinodinos told the CeBIT technology fair in Sydney on Tuesday.

“We’re not afraid of the word innovation,” he said.

“I know some people now say, ‘oh, should we be a bit scared because innovation means that jobs are going to go in so many areas?’   – but jobs are going to grow in others. 

“There are jobs being created today that we have no idea [about]. This is the lesson of history, this is the lesson of technological progress: we have to be optimists.”

Known for his blunt style, Senator Sinodinos has made waves in the past when he shrugged off the demise of Australia’s steel and car manufacturing, saying “nothing is forever”.

His speech was delivered mostly to CIO’s and startup executives, including fintechs, who are driving much of the changes.

Fintech and robo-advice’s threat to employment has proved a fashionable topic - with much justification.

According to a 2016 study by Citibank, fintech may cause banks to lose 30 percent of their staff over the next 10 years. Predictions that robo-advice is a death knell for financial advisers have been widespread. 

But what the full scale of job losses will be remains to be seen. 

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