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Error highlights need government banking review

Contributor:
Fuseworks Media
Fuseworks Media
Richard Wagstaff
Richard Wagstaff

Public servants across the country have been left without pay today due to a banking error at Westpac, the government's current banking partner.

"Members have been contacting us all day, worried about mortgages and other bills not being able to be paid and that's not good enough from the government," says PSA National Secretary Richard Wagstaff.

This latest glitch comes less than a year since a similar problem in April 2011. Westpac has apologised for the inconvenience and took to Twitter to tell customers that it will waive or reimburse any costs incurred as a result of the fault

"We're glad to hear that Westpac is taking measures to minimise the impact on people affected by this error but many public servants won't have access to Twitter.

"Apologies are fine but there should be fail-safes in place to ensure that this sort of thing doesn't happen in the first place, yet here we are with two glitches in the space of a year."

Westpac became banker to the government in 1989 and there have been calls for a review of this arrangement.

"This adds to the momentum for the government to go back to tender for a banking provider that can guarantee good, secure and stable services," adds Richard Wagstaff.

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