Australian Mutual Bank Ltd
Climate Impact & Sustainability Data (2020)
Reporting Period: 2020
Environmental Metrics
ESG Focus Areas
- Members
- Governance
- People
- Community
- Environment
- Suppliers
Environmental Achievements
- Increased electronic service delivery, reducing paper usage.
- Australian and local sourcing of goods and services.
Social Achievements
- Launched children's 'Kickstart' account and 'Lifestyle Account' to attract younger members.
- Retirement Savings Account and Pensioner Aware Accounts for older members.
- Donated $230,000 to the Australian Mutuals Foundation.
- Supported Barnardos and Asian Confederation of Credit Unions.
- Improved employee wellbeing initiatives.
Governance Achievements
- Established the Australian Mutuals Foundation.
- Implemented robust fraud prevention policies.
- Removed pay confidentiality clauses from employment contracts to promote gender equality.
Climate Goals & Targets
Long-term Goals:
- Be members’ first choice for financial services.
Short-term Goals:
- Return to long-term average profitability.
- Implement two-year program of voluntary redundancies and branch closures.
Environmental Challenges
- Low interest rate environment due to the COVID-19 pandemic affecting profitability.
- Aging member base.
- Increasing fixed costs relative to asset size.
- COVID-19 impact on loan repayment deferrals.
Mitigation Strategies
- Restructuring arrangements including branch closures and voluntary redundancies.
- Launching new products for younger members.
- Pursuing economies of scale, including through mergers.
- Managing COVID-19 affected loan repayment deferrals effectively.
Supply Chain Management
Responsible Procurement
- Co-operation with other mutuals for competitive pricing.
- Australian and local sourcing of goods and services.
Climate-Related Risks & Opportunities
Physical Risks
- Increased risk of flooding, droughts, and increased frequency and severity of extreme weather events.
- Lethal heat waves and bushfires.
Reporting Standards
Frameworks Used: AA1000 principles, GRI (partially aligned)
Awards & Recognition
- CANSTAR 5 Star Outstanding Value Awards (Variable Home Lender, Savings Account, Transaction Account, Visa Credit Card, Personal Loan, Term Deposit Secured Loan)
- Finder Award (Best Personal Loan)
- Mozo Experts Choice Award (Personal Loans)
- RateCity Gold Award (Best Kids Savings Account)