HSBC's Aussie exit

👋 G’day

Today’s brief:

• HSBC mulls Australian banking exit for its Australian consumer arm.

• New employer duty targets sexual harassment prevention.

• Labor faces pressure on an Australian TikTok ban if Trump goes that way.

Here’s the latest to keep you ahead 👇

PRACTICE POINTS

New employer duty: will it stick?

• Late 2023 brought a new positive duty for employers to actively prevent sexual harassment and discrimination. Sounds good in theory—but in practice? The Australian Human Rights Commission still hasn’t flexed its enforcement powers. Kirsty Peacock-Smith of Bird & Bird says that without penalties or court action, “it’s hard to see there is a real deterrent.” For now, it looks like the AHRC is sticking to guidelines and resources instead of taking anyone to task. 

• At APRA’s roundtable with super heavyweights like AussieSuper, Australian Retirement Trust, and UniSuper, one message rang loud and clear: the industry needs standardised climate reporting metrics, methods, and scenarios. Super CEOs stressed that comparability across the industry is key—and they’re calling on regulators to step up with clear, practical guidance to make it happen. 

• There’s a big shift in the Buy Now, Pay Later space. Starting 10 June 2025, these contracts will fall under the National Credit Code, meaning providers will need to hold a credit licence. Time for BNPL to play by the same rules as traditional lenders.

WORD ON THE STREET

MinRes seeks new legal head

• MinRes is on the lookout for a new senior legal counsel to step into Jenna Mazza’s shoes. But it’s no easy gig—the role comes with the baggage of the company’s rocky reputation following Ellison’s tax evasion scandal. 

• A sole prac has pocketed $160k after a WA Supreme Court ruling over defamatory emails from a former client. The accusations — fraud, dodgy retainers, and criminal misconduct — were slammed as baseless by Justice Paul Tottle, who said they lacked the credibility to hurt her professional standing.

• Pinsent Masons just scored two special counsels—one from DLA Piper and another from NRF—for its Sydney office. The hires boost the firm’s capabilities in corporate as well as planning and environment. 

• James Tannock, formerly a partner at Hamilton Locke, has joined Kain Lawyers as the director of its Sydney office, strengthening the firm's national presence.

• A lawyer has been slammed by VCAT for sending eight threatening texts to a barrister in a bid to stop him testifying in a fees dispute.

TALKING POINTS

Legal’s workload woes

• According to new research from Consilio, nearly half (48%) of legal, risk, and compliance professionals worldwide say overwhelming workloads are their biggest challenge. Another 30% flagged improving operational efficiency, with some noting the irony behind tech, which is meant to ease the load, often ends up complicating things further. 

• Good news for our American doom-scrollers: TikTok has started restoring services in the US. Trump has promised to delay the ban, giving time to strike a deal that would see the US snag a 50% ownership stake in a joint venture with TikTok.

• For the first time, Dutton has drawn level with Albo as preferred PM, according to an AFR/Freshwater Strategy poll. The poll also shows that law and order has overtaken climate change as a top concern, following a string of antisemitic attacks in Sydney and Melbourne.

• One in 50 NSW Higher Education Certificate students last year picked UNSW’s Bachelor of Medicine as their top choice. Medicine dominates, with four of the top 10 most sought-after courses in NSW being medical degrees. In the West, Curtin’s Medicine and UWA’s Biomedicine are top picks for undergrad degrees.

• Donald Trump took the oath of office, pledging to shake up US immigration, trade, tax, and energy policies—but stopped short of slapping tariffs on the country’s top trading partners. Meanwhile, Joe Biden’s final moments in office were marked by a flurry of pardons, including for five family members.

TREASURY

DEAL ROOM

BGH Capital eyes PwC

• Back when PwC floated the idea of selling off its insolvency arm, BGH Capital came in with an offer for the firm’s private tax business. But PwC wasn’t having it—after reviewing the NBIO, they made it clear: “the business is not for sale”. 

• Optus is mulling the sale of Optus Sport to Nine Entertainment, which would hand the English Premier League rights over to Stan, signalling a return to its telecommunications roots.

• Chemist Warehouse Franchisees holding $900m to $1.1bn in stock (after accepting unlisted shares over the years) are eyeing a sell-down once the $30bn Sigma merger kicks in. The reverse listing through Sigma offers many their first real chance to convert those holdings into cash.

• Macquarie Capital has now taken control of over 50% of Next Payments, the ATM and cash management player, after buying a chunk of shares from founder Tim Wildash.

SECTOR SPECIFIC

Gamblers vs Sportsbet in class action

🚜 DIGGERS

• IGO is set to post a loss from its WA lithium processing facility as the miner struggles to secure customers in the sluggish lithium market.

• ASX-listed Energy Transition Minerals, a rare earths explorer eyeing Greenland for mining, is raising $9m, fueled by investor buzz around the region following Trump’s repeated comments about the US acquiring Greenland.

• Rio Tinto has taken another hit to its iron ore operations as Cyclone Sean’s heavy rains flooded key parts of its facilities, also affecting BHP and Fortescue.

• Capstone Copper’s total copper output reached a record high in 2024, but the copper miner said it fell short of guidance.

🏦 FIN

• HSBC is weighing up whether to offload its Australian consumer banking arm, insiders say. The move comes as the global giant continues trimming its operations, potentially signalling another shake-up Down Under.

• Donald Trump is set to stroll into the White House on Tuesday a cool US$56bn (A$90bn) richer, courtesy of a crypto token $Trump. The token now accounts for a whopping 89% of his wealth.

🏡 RETAIL & REAL ESTATE

• Gamblers who’ve had enough of losing are hitting back, launching a class action against Sportsbet. The case targets “live” or “in-play” bets made via its fast code service. Maurice Blackburn, representing the group, argues the service is illegal—betting on sporting events must be done entirely by telephone, and Maurice Blackburn says the fast code service falls short. The claim alleges Sportsbet misled users by promoting the fast code service as legal, potentially breaching the MDC provisions in the ACL.

• Former Nine Network reporter Airlie Walsh has settled her sex discrimination claim against the broadcaster. Maurice Blackburn, acting for Walsh, revealed they’re also representing “a number of women” in the TV industry bringing similar claims. And it’s not just Nine—other networks like Seven and Ten have recently been hit with similar allegations.

📱 TECH

• Labor is under pressure on TikTok. The Coalition is urging the Albanese government to follow Trump’s tough stance on TikTok as the app’s future in Australia hinges on US-led safety reforms.

• Albo’s playing hardball with tech regulation, introducing the social media ban, while in the US, tech bros are schmoozing Trump, hoping for deregulation. Tech think tank Tech Policy Design Institute is calling on Albo to go toe-to-toe with American tech giants with even stricter regulation.

P.S.

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