AMP has appointed a former Commonwealth Bank executive to a new whistleblowing role as it tries to regain customer trust following damaging revelations of misconduct.
AMP said its appointment of Anne-Marie Paterson, who will “lead whistleblower awareness, training and investigations across the business”, was part of a $200 million two-year program to strengthen its risk, governance and controls.
A government-mandated Royal Commission inquiry into the banking sector last year heard evidence that AMP improperly charged fees to customers and attempted to deceive regulators, prompting a major shakeup of its management.
The Royal Commission also uncovered serious misconduct at Paterson’s previous employer, CBA, which has already cost that bank over $2 billion in customer remediation costs.
Paterson’s LinkedIn profile lists her as “People Resolution” executive manager for CBA since 2017.
AMP’s statement said she was the whistleblower investigation officer.
AMP Chief Risk Officer Jenny Fagg said the appointment was “in recognition of how seriously we take whistleblowing and to help people feel comfortable speaking up.”
“Our stakeholders, including our customers, expect us to manage our risk effectively and the commercial return on doing so is profound,” Fagg added.
AMP last month posted its biggest half-year loss as a listed company and withheld a dividend for the first time.
It also announced a major overhaul, ending the majority of commission payments to AMP’s financial advisers and renegotiating agreements with its network of aligned advisors to slash the value of their businesses.
The company’s stock price hit a record low of $1.605 last week, and at 1210 AEST of Monday had dropped by 1.77 per cent to $1.665.