Kiwibank

Office address: 20 Customhouse Quay, Wellington Central, Wellington 6011
Website: www.kiwibank.co.nz
Year established: 2002
Company type: financial services
Employees: 2,400+
Expertise: retail banking, business banking, home loans, personal loans, credit cards, savings accounts, term deposits, insurance, investment services, financial advice, payments processing, internet banking, phone and text banking
Parent company: Kiwi Group Capital
Key people: Steve Jurkovich (CEO), Julia Jack (CPBO), Elliot Smith (CCO, business), Macayla Hughes (CLO), Mark Stephen (CCO, retail), Charlotte Ward (CPO), Mike Hendriksen (CRO), Paul Chambers (CFO and COO)
Financing status: formerly PE-backed

Kiwibank is a state-owned bank based in Wellington, with over 2,400 employees across five continents. They offer personal and business banking services, managing assets of $32.4 billion and deposits of $28.2 billion. The bank aims to improve financial outcomes for New Zealanders, keeping all profits within the country to benefit local communities.

History of Kiwibank

Kiwibank was founded in 2002, driven by politician Jim Anderton’s vision for a locally-owned bank that retained profits within New Zealand. Within two years, the bank surpassed 250,000 customers and launched its business banking services. From 2006 to 2008, it became the first New Zealand bank to offer real-time mobile banking and later fully acquired New Zealand Home Loans.

By 2012, the bank had over 800,000 customers and partnered with Ngā Tāngata Microfinance Trust to provide no-interest, fee-free loans to those in need. Between 2018 and 2021, the bank introduced recycled plastic cards and earned the Rainbow Tick, Living Wage, and Gender Tick accreditations. After surpassing one million customers in 2022, Canstar recognised the bank, along with ANZ, for its outstanding services to business clients in 2023.

Products and Services of Kiwibank

It offers a broad range of financial products and services designed to meet the diverse needs of its customers:

• home loans: flexible options with fixed, variable, offset, and revolving rate choices for homeowners
• first home loans: tailored lending solutions to help first-time buyers enter the property market
• co-own home loans: a shared-ownership option, offering an alternative to borrowing from family for home purchases
• home loan calculators: tools to assist customers in budgeting and calculating potential mortgage amounts
• home loan specialists: expert advisors providing personalised mortgage advice and support throughout the loan process
• personal loans: unsecured loan options for various personal financing needs
• credit cards: a range of cards offering competitive rates and rewards for everyday spending
• insurance: comprehensive coverage options for home, contents, vehicles, and more

Kiwibank’s services are designed to improve the financial wellbeing of Kiwi, Tamariki, and Aotearoa. With a strong cultural foundation and digital focus, the bank aims to drive positive change for future generations.

Culture at Kiwibank

The bank fosters a supportive environment focused on flexibility, growth, and rewarding work. Employees are encouraged to reach career goals through opportunities for skill development and qualifications. The company offers a collaborative space where staff can thrive and belong, driven by a commitment to employee wellbeing and career growth:

• perks: competitive salaries, performance bonuses, and financial assistance for home office setups
• wellbeing: flexible work options, fully subsidised medical insurance, and regular wellbeing sessions
• time off: generous leave policies, including paid parental and volunteer leave, along with a parenthood package
• career growth: development programs, mentorship, and access to LinkedIn Learning for continuous learning
• employee discounts: discounts on products and services, supporting financial wellbeing

Kiwibank promises an inclusive environment where employees can bring their whole selves to work. They prioritise DE&I by ensuring recruitment reflects New Zealand's communities. Their focus is on creating a workplace where all employees feel valued and supported, regardless of background or identity:

• Gender Tick: New Zealand's first bank to receive this accreditation, promoting gender equality since 2019
• Neurodiversity: partnered with Brain Badge to support neurodiverse employees and their unique needs
• Living Wage Employer: ensures all employees are paid at least the living wage
• Transparent Pay Gaps: committed to reducing gender and ethnicity pay gaps through open reporting

Their sustainability approach focuses on running its business in a way that benefits customers, employees, communities, and the environment. Their FY24 Sustainability Report outlines progress toward these goals, demonstrating a commitment to long-term environmental stewardship. It monitors its impact, ensuring ongoing improvements to reduce emissions, waste, and resource use across all operations:

• reducing electricity usage: offices in Wellington and Auckland are Green Star-rated, and all branches are fitted with energy-efficient LED lighting
• reducing waste: transitioned to paper quick deposit bags, removing 80,000 plastic bags annually, and composts at head offices
• fleet and travel: shifting to electric vehicles and implementing carbon travel budgets to cut travel emissions by 15% by 2025

Promoting a high-performance culture built around inclusivity and collaboration, Kiwibank's employees are central to everything the bank achieves. Their culture, known as Ngā Kauwaka, focuses on growth, learning, and creating a space where everyone can belong. This culture ensures that customers remain at the heart of the bank’s operations, driving positive outcomes for both staff and clients.

About Kiwibank CEO Steve Jurkovich and Key People

Steve Jurkovich has been their chief executive since 2018, bringing leadership experience from New Zealand and Australian financial institutions. His background includes roles as the chairperson of the New Zealand Bankers' Association, executive GM at ASB Bank, and regional manager at Westpac. Jurkovich holds an executive MBA from the University of Sydney and an LLB from Otago University.

The leadership team manages key areas of the business, driving progress and growth across the organisation. These include:

• Julia Jack, as chief purpose and brand officer, oversees Kiwibank’s brand strategy and community engagement initiatives to align with the company’s purpose-driven mission
• Elliot Smith, serving as chief customer officer – business, manages business banking operations, focusing on customer growth, retention, and delivering innovative solutions for business clients
• Macayla Hughes, as chief legal officer, ensures the bank’s legal and regulatory compliance while providing guidance on corporate governance and risk management
• Mark Stephen, chief customer officer - retail, leads retail banking services, improving customer experience, and driving growth in the personal banking segment
• Charlotte Ward, serving as chief people officer, spearheads talent development, employee engagement, and corporate culture to create an inclusive and high-performing work environment
• Mike Hendriksen, chief risk officer, is responsible for overseeing enterprise risk management and ensuring the bank complies with regulatory standards and internal policies
• Paul Chambers, as CFO and COO, manages financial strategy and day-to-day operations, focusing on maintaining financial stability and operational efficiency across the organisation

The Future at Kiwibank

In July 2024, the bank continues to embrace digital innovation and community-based initiatives to support homeownership. They recently launched a series with Warner Bros. Discovery that highlights the challenges and opportunities of homeownership. Kiwibank aims to help more Kiwi achieve their homeownership dreams while educating the public on different property-buying models.

The bank recently reported a record $202 million net profit for FY24, marking a 15% increase from the previous year. This achievement was driven by strategic initiatives and a focus on sustainability. CEO Steve Jurkovich remains optimistic, expecting upcoming OCR rate cuts to benefit Kiwi households and further strengthen the economy in 2025.