The restructure of the Victorian Funds Management Corporation (VFMC) is understood to have created its first retrenchments, with unconfirmed reports that William Graus and Mary McLaughlin have not been offered new positions after all existing staff were interviewed three weeks ago.

Graus joined VFMC in 1998 and specialises in mandate transitions and implementation, while McLaughlin joined in 2003 and has an asset allocation background. Both were listed on the ‘Key Staff’ page of VFMC’s website at presstime. VFMC chief executive, Syd Bone, would not comment on the specifics of the restructure, only to say that the transformation of VFMC into an “investment centre of excellence”, as envisioned by Victorian Treasurer John Brumby, would take about 12 months. He agreed it was in the interests of current investment staff to have their future roles finalised quickly.