The remarks follow reports of trade negotiations between Australia, the US, the EU and Japan, revealed in a Wikileaks document, which would see the removal of current restrictions to foreign financial service institution operation in Australia.
According to the document, the Trade in Services Agreement (TiSA) would give other signing countries the right to set-up and expand within the member country's territories "through the acquisition of existing enterprises (and without the imposition of numerical restrictions)".
It would also facilitate the sharing of personal financial data between the signing countries, documents show.
The Financial Sector Union condemned the report and accused the Government of placing needs of industry before the local labour force and consumers.
"In what appears to be a case of collective amnesia, we now we have a government willing to capitulate to the demands of our big banks and financial services lobbyists at the expense of jobs, data security and the best interests of customers," FSU National Secretary Leon Carter said.
"The danger of leaving the banking and finance industry to its own devices without any form of public accountability and regulation is the exposure to risky behaviour and practices that can cause financial harm and devastation to members of our community and to our economy as a whole."