Officeworks is set to relocate hundreds of customer service and technology roles overseas as part of a major business transformation strategy aimed at cutting costs and strengthening its competitive position.
The retailer, which operates under the Wesfarmers group, confirmed that customer service positions from its western Sydney contact centre will be transferred to Manila, Philippines. In addition, several office-based and IT roles currently located in Melbourne and Sydney are expected to move to Bengaluru, India.
According to the company, the decision has been driven by rising operating costs, growing market competition, and changing customer expectations. Officeworks said the changes would help maintain affordable prices for customers while allowing further investment in stores, technology, and product offerings.
“As part of this program, some activities currently performed in our Australian support office will transition to a new global centre in Bengaluru,” the company said, according to an ABC report.
Dozens of customer service employees in western Sydney have already been made redundant, with staff informed that their positions will be replaced by offshore teams. Additional transitions involving IT and support functions are expected to occur gradually over the coming months.
Officeworks stressed that the changes will have minimal impact on its Australian retail store workforce, which will largely remain unaffected.
The move reflects a broader trend among Australian businesses increasingly outsourcing white-collar roles to lower-cost markets such as India and the Philippines, where large pools of skilled workers support multinational companies through global capability centres.
The company also plans to increase its use of automation, advanced data systems, and artificial intelligence to improve efficiency.
However, the strategy has raised concerns among analysts about the potential long-term impact on domestic employment, particularly in technical and administrative sectors.
In response, the federal government reiterated its expectation that companies operating in Australia should prioritise local employment opportunities, while acknowledging the competitive challenges businesses face in a rapidly evolving global economy.
Officeworks has already begun recruiting staff for its new Bengaluru operations and is expected to complete the transition in stages over the coming period.