Future Fund set to join tech-related jobs cull
Job cuts could be coming at Australia’s sovereign wealth fund in the latest round of technology-related cost cuts to hit the financial sector.
The Future Fund expects to save $10-15 million in costs in the 2026/27 financial year by “maximizing the benefits of improved data and technology systems” and renegotiating outsourced services.
The Future Fund Management Agency, a non-institutional government agency that oversees the $335 billion fund’s operations, will also review 10 roles in investment and non-investment areas.
This will ensure headcount “continues to reflect business needs and priorities”, the fund said in a statement on Tuesday.
“In all cases, appropriate consultations are held with relevant staff before decisions about roles are made,” the statement said.
The Future Fund said technology-related savings would reduce costs by around five to seven per cent in the next financial year, with further savings expected in subsequent years.
Chief executive Raphael Arndt said the fund had “boiled down” the benefits of the technology overhaul and maximized its efficiency.
This follows a series of job cuts linked to the use of AI by employers in the financial sector.
In early April, Bendigo and Adelaide Bank announced it would cut its workforce by hundreds of roles after signing two technology deals.
Dr Arndt said the Future Fund had made significant investments in its data, technology, people, processes and culture since the start of the Covid-19 pandemic and had identified a “new investment order” that was reshaping the investment landscape.
“Our investment in data and technology, systems and the ability to use them, is critical to investment performance,” he said.
“Overall the agency’s costs and staffing levels are appropriate to the scale and complexity of our investment objectives, but we need to ensure this remains the case.
“We will continue to evaluate the resources required to generate strong risk-adjusted returns in a complex investment environment and make changes where it is prudent to do so.”
