HSBC Plans Yet Another Round of Job Cuts
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Up to 10,000 jobs across HSBC are under threat as interim chief executive officer Noel Quinn plans to cuts costs.
British multinational bank HSBC is set to embark on its largest cost-cutting exercise in years, and facing the ax are up to 10,000 high-paying roles across the group, citing two people close to the matter.
The latest round oaf job cuts follows the August announcement that the lender would be laying off up to 2 percent of its global workforce (4,754 of 237,865 jobs at that time) as part of the overall group strategy to cut 4 percent of the bank’s wage costs.
One of the sources said the cost-cutting drive and job cuts could be announced as soon as later this month, when the group announces its third-quarter results.
Asia a Bright Spot
There’s some very hard modelling going on. We are asking why we have so many people in Europe when we’ve got double-digit returns in parts of Asia,» a source was quoted as saying.
The bank will also continue to hire staff in high-growth regions Asia, where the bank generates 80 percent of its profits, another person said.
Questions & Answers
Q.What is the primary reason for HSBC planning these job cuts?
What is the primary reason for HSBC planning these job cuts?
Interim chief executive officer Noel Quinn is planning these job cuts as part of HSBC's largest cost-cutting exercise in years. This strategy aims to reduce the bank's overall wage costs.
Q.How many jobs are potentially affected by this latest round of cuts, and what kind of roles are they?
How many jobs are potentially affected by this latest round of cuts, and what kind of roles are they?
Up to 10,000 jobs are under threat in this latest round of cuts. These are described as high-paying roles across the group, affecting various departments within the bank.
Q.When might an official announcement regarding these job cuts be made?
When might an official announcement regarding these job cuts be made?
An official announcement regarding the cost-cutting drive and job cuts could be made as soon as later this month. This is expected to coincide with the group's announcement of its third-quarter results.
Q.Why is HSBC reportedly focusing its workforce reductions in Europe?
Why is HSBC reportedly focusing its workforce reductions in Europe?
HSBC is reportedly focusing workforce reductions in Europe because there are concerns about having too many staff there. In contrast, the bank experiences double-digit returns and generates 80 percent of its profits in Asia.
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