The acceptance of FINSIA’s recommendation about the need for trained, competent staff at at all levels and industry wide standards for competency and conduct in the draft Banking Code of Practice review has been welcomed by CEO Chris Whitehead.
While there are a number of recommendations under consideration by the ABA and subject to ASIC approval, Mr Whitehead said he was delighted that FINSIA’s professionalisation strategy was gaining traction.
Mr Whitehead Chartered Banker F FIN said: “Our long-term core mission has been to re-store trust and instil professionalism across the industry by ensuring all bank staff attain agreed levels of competency.
“It’s really encouraging our voice is being heard.”
The review of the Banking Code of Practice is the first since the Royal Commission.
FINSIA’s submission - formulated by our Retail and Business Banking Industry Council, which includes members from all the major banks as well as other ADIs - highlight a growing ac-ceptance of the crucial need to adopt industry wide professional standards and education.
Mr Whitehead added: “Everyone at FINSIA is keen to support the banking and the broader financial services industry’s commitment to raise standards of professionalism and earn back trust to create an enduring customer focused culture.
“That’s why it is so important that we continue to advocate on behalf of our members to en-sure the voice of the individual is heard. So I am grateful to the members who put in their time and hard work to ensure FINSIA’s collective voice is heard.”
Head of Corporate Affairs John Pender noted that “There seems to be an emerging recogni-tion on the part of government and regulators of the unintended consequences of prescrip-tive regulation in financial services and the powerful positive outcomes produced by indus-try standards, professionalism and professional education.
FINSIA has recently called attention to this in its submissions made so far this year about the:
Review of the quality of Advice
Education Standards for Financial Advisors
“Our councils are also working on other opportunities to contribute to positive outcomes for the community by submissions, engagement and events, and support government, regu-lators, industry and broader society in the recovery from COVID-19.,” explained Mr Pender.
Recommendation 30 of the BCOP draft emphatically backs FINSIA’s own suggestions, saying:
“It should be made clear that the commitment to have trained and competent staff that un-derstand the Code and how to comply with it, covers staff at all levels, including manage-ment.
“The banks should develop industry wide standards for competency and conduct for bank staff. The Code should also state that staff will be supported by appropriate systems and technology to support compliance with the Code.”
“We believe these Recommendations - particularly Recommendation 30 - will have broad support from stakeholders,” said Mr Whitehead.
“Now we will continue a process of consultation with the ABA, its members, Government and Regulators to support implementation of Recommendation 30.
“We certainly would like to think the new BCOP would not be approved without adoption of these requirements.
