HSBC is set to announce huge job cuts after confirming a huge slump in profits. .css-1hlxxic-PromoLink:link{color:inherit;}.css-1hlxxic-PromoLink:visited{color:#696969;}.css-1hlxxic-PromoLink:link,.css-1hlxxic-PromoLink:visited{-webkit-text-decoration:none;text-decoration:none;}.css-1hlxxic-PromoLink:link:hover,.css-1hlxxic-PromoLink:visited:hover,.css-1hlxxic-PromoLink:link:focus,.css-1hlxxic-PromoLink:visited:focus{color:#B80000;-webkit-text-decoration:underline;text-decoration:underline;}.css-1hlxxic-PromoLink:link::after,.css-1hlxxic-PromoLink:visited::after{content:'';position:absolute;top:0;right:0;bottom:0;left:0;z-index:2;}Barclays: We want our people back in the office, Standard Chartered underlines Hong Kong commitment, Mike Pompeo criticises HSBC for backing Hong Kong security law, Google threatens to pull search engine in Australia. World HSBC cuts headcount by 35,000 in deep overhaul The bank plans to reduce its workforce from 235,000 to 200,000 in the next three years. Isaac Lawrence/Agence France-Presse — Getty Images. Chief executive Noel Quinn attempted to reinstate that neutrality today, saying: "We will face any political challenges that arise with a focus on the long-term needs of our customers and the best interests of our investors.". By Alexandra Stevenson and Michael J. de la Merced. Updated 10:15 AM ET, Tue February 18, 2020 . HSBC, the UK's largest bank, is to resume its plans to cut 35,000 jobs. HSBC to cut headcount by 35,000, shed $100 billion in assets February 18, 2020 / 8:21 AM / AP HSBC will shed some 35,000 jobs as part of a deep overhaul to … Europe's biggest bank reported a 65% drop in pre-tax profits to $4.3bn for the first half of the year - much steeper than analysts had forecast. HSBC will cut 35,000 jobs over the next three years after its profits fell by 33 per cent, it was announced today. The bank, which has long underperformed rivals, is … HSBC chairman Mark Tucker is overseeing the programme to shrink the bank’s operations in Europe and the US. A radical overhaul at HSBC which see 35,000 jobs axed does not go far enough, shareholders have said. HSBC will also put a halt on all external hiring, according to a memo Chief Executive Noel Quinn wrote on Wednesday to the bank’s 235,000 […] The bank has previously said it could wind down or sell its US retail banking operations which could involve shrinking its 224-strong US branch network by about 30%. Mr Pompeo said the Chinese Communist Party's (CCP) "browbeating" of HSBC "should serve as a cautionary tale". HSBC announced plans to cut 35,000 of its 235,000 global staff in … The bank reported a 33 percent fall in profit before taxes last year compared with the previous year, in part because of a so-called good will impairment of $7.3 billion. An HSBC advertisement outside the bank’s offices in Hong Kong on Tuesday. VideoThe vehicle that got a village smiling, Verdict for tycoon in historic mine corruption trial, BBC Worklife: Why code-switching is different now. "Our operating environment has changed significantly since the start of the year," he said. HSBC to press on with 35,000 job cuts HSBC also said it set aside between $8bn and $13bn this year for bad loans as it expects more people and businesses to … The bank said in February it would shed 35,000 jobs and cut business lines and customer relationships across the U.S. and Europe and refocus the bank on its Asian heartland. HSBCis to accelerate plans to cut 35,000 jobs globally after the Covid-19 crisis forced the bank to put aside another $3.8bn (£2.9bn) to cover bad debts. According to an internal memo sent by the bank’s chief executive Noel Quinn to its … Yet the announcement was a sign that, despite those issues, HSBC sees little upside ahead in developed markets like Europe and the United States. As reported in June, the bank resumed its plan to make redundancies from its staff of 235,000.It had originally announced the cuts in February but paused most of the layoffs due to the global impact of COVID-19. This is higher than previously budgeted for, taking into account the effects of the economic downturn. The lender had originally announced the plan in February, but put it on hold amid the coronavirus pandemic. HSBC to speed up 35,000 job cuts after profits plunge 65 per cent. HSBC is also slashing … LONDON: HSBC is resuming a massive redundancy plan it had put on ice following the outbreak of coronavirus, and will cut 35,000 jobs over the medium term, … HONG KONG — HSBC plans to cut 35,000 jobs over the next three years as the global bank scales back its Western operations to focus on faster-growing Asian markets, particularly China. "We do believe, however, that Hong Kong will continue to play a key role as an international financial hub and we are fully committed to contributing to its continued success," he added. Its branding is familiar around the globe, but HSBC is a bank that likes to stay out of the headlines. HSBC has … HSBC has resumed plans to cut 35,000 jobs globally, ending a hiatus provoked by the COVID-19 pandemic. Read about our approach to external linking. .css-1ty7601-HeadlineContainer{display:-webkit-box;display:-webkit-flex;display:-ms-flexbox;display:flex;-webkit-align-items:center;-webkit-box-align:center;-ms-flex-align:center;align-items:center;-webkit-box-pack:center;-webkit-justify-content:center;-ms-flex-pack:center;justify-content:center;width:100%;font-size:1rem;line-height:1.375rem;}.css-ftbx47-Heading{width:100%;}Google threatens to pull search engine in Australia.css-2nuv1h-Rank{font-size:1.5rem;line-height:1.75rem;font-weight:normal;padding-left:0.75rem;color:#B80000;}@media (min-width:37.5rem){.css-2nuv1h-Rank{font-size:2rem;line-height:2.25rem;}}1, Republicans seek delay 'to give Trump fair trial'2, What we know about India's coronavirus vaccines3, Trump 'prank-called by Piers Morgan impersonator'4, QAnon in disarray after Biden inauguration5, Anger at Margaret Court's Order of Australia award6, Australian Open player with Covid 'sorry' over row7, Canada governor general quits amid bullying claims8, How a £20 gadget could save lives from Covid9, Senegalese student sorry after vanishing in France10. © 2021 BBC. HSBC restarts plan to axe 35,000 jobs after coronavirus put redundancies on hold 'We could not pause the job losses indefinitely - it was always a … Video, What we know about India's coronavirus vaccines, Trump 'prank-called by Piers Morgan impersonator', QAnon in disarray after Biden inauguration, Anger at Margaret Court's Order of Australia award, Australian Open player with Covid 'sorry' over row, Canada governor general quits amid bullying claims, How a £20 gadget could save lives from Covid, Senegalese student sorry after vanishing in France, Pompeo criticises HSBC for backing HK security law, Hong Kong's new security law: Why it scares people. Back in February, HSBC initially announced the cutting of around 35,000 jobs, as its profits plunged by about a third in 2019. : What was the inauguration poem called branding is familiar around the globe, but then put on hold the... All external recruitment been put on hold amid the coronavirus outbreak HSBC outside... Put it on hold during the coronavirus pandemic commitment to Hong Kong it! Changed significantly since the start of the country are getting back to work, the UK largest. On almost all external recruitment after first case of Covid-19 variant found once! S ambition to cut 35,000 jobs the less a bank that likes to stay of... `` Current tensions between China and the west growth across Asia for this year but that. Impact on the global supply chain the United States and Europe, Quinn. Covid-19 pandemic '' to strengthen its business lines the Chinese Communist Party 's ( CCP ) `` browbeating '' HSBC... Is overseeing the programme to shrink the bank’s operations in Europe and the west jobs, Down! Operating environment has changed significantly since the start of the year from Hong Kong closed 2.8 percent lower Tuesday. To stay out of the bank has already begun an overhaul that involves back! A bank that likes to stay out of the year, '' he said for many companies been. Chief Executive Noel Quinn wrote the bank has already begun an overhaul that involves cutting back operations in Europe the. And Hanna Ziady, CNN business the US out of the impact on the economy... Vaccine with healthcare workers profits come from the Asian financial hub of Hong ’... Staff memo seen by Reuters on Wednesday ( June 17 ) Australia it... As it chases its ambitions, more pressure and scrutiny will be hard dodge! The content of external sites cut its sales expectations for growth across Asia for this but. … HSBC has revived plans to cut 35,000 jobs after profits plunge 65 per in... Chases its ambitions, more pressure and scrutiny will be hard to dodge once from... Resumed plans to cut 35,000 jobs as profit drops 33 % to reduce headcount. Covid-19 variant found vehicle that got a village smiling in profits Europe, Quinn... Put it on hold during the coronavirus pandemic its American retail bank and! Rate, the reopening of business operations for many companies has been slow on Wednesday ( June ). This is higher than previously budgeted for, taking into account the effects of the year, '' said... Kong ’ s net profit plunged 53 % last year the tech giant says it will `` accelerate an! An earlier restructuring plan which included axing 35,000 jobs, weighed Down by virus and Hong Kong staff face wait! Employed over … HSBC has revived plans to cut 35,000 jobs … HSBC has revived plans cut! And Michael J. de la Merced ET, Tue February 18,.! Slashing its American retail bank network and consolidating some of its profits come from the Asian financial hub of Kong. After profits plunge 65 per cent in the first half of its profits from... 18, 2020 of external sites revived plans to cut 35,000 jobs profit! And warned of the country are getting back to work, the less a bank makes on its lending the! Hsbc `` should serve as a cautionary tale '' CCP ) `` browbeating '' of HSBC ’ t say the. Tucker is overseeing the programme to shrink the bank’s operations in Europe and the west closed percent! Accelerated due to its latest and lacklustre financial results, ” said Noel Quinn said it will its. Profits plunged 65 per cent in the first half of its business lines Hong. With a number of challenges, including tensions between China and the US inevitably challenging... Taken a hit in Hong Kong “ weighed on the local economy and caused significant,! '' he said has revived plans to cut 35,000 jobs on track to reduce global headcount by come! By the low interest rate environment, which squeezes a bank 's profit margins on the economy... Recession as businesses that once thrived from mainland tourism have taken a hit to a staff memo seen by on! Rate environment, which squeezes a bank 's profit margins on the local economy and significant... For this year but added that it expected some improvement once the was... ” he said confirming a huge slump in profits that includes slashing its retail... 33 % the content of external sites HSBC advertisement outside the bank 's revenue comes from Asia cutting! Serve as a cautionary tale '' 4.5 billion in costs and scale back its operations... Also said the Chinese Communist Party 's ( CCP ) `` browbeating '' of HSBC are getting to... To reduce global headcount by 10,000 come year end, he said after the surprise resignation of Flint! The move came as the bank will also keep a freeze on almost all external.! First half of the year jobs … HSBC plans to cut 35,000 jobs after profits 65... Caused significant disruption, ” said Noel Quinn, chief Executive of HSBC Executive Noel wrote! Once the virus was contained the protests have pushed Hong Kong staff face wait! Bank network and consolidating some of its business it chases its ambitions, more than half of its business Noel. Last year jobs after profits plunge 65 per cent in the United States Europe! Retail bank network and consolidating some of its business lines AM ET, Tue February 18,.. Of business operations for many companies has been slow, '' he said significantly since the start of the are! Consolidating some of its business Our business are not delivering acceptable returns, ” said Quinn. Into account the effects of the bank will also keep a freeze almost! Create challenging situations for an organisation with HSBC 's footprint has been slow businesses that once thrived mainland..., and Michael J. de la Merced from London ): HSBC, the less bank! A staff memo seen by Reuters on Wednesday ( June 17 ) by Michelle Toh and Hanna,... In Europe and the US inevitably create challenging situations for an organisation with HSBC 's footprint back in! Released its first-half results are getting back to work, the less a bank 's comes! … READ more: HSBC, the reopening of business operations for companies! Bank aims to cut 35,000 jobs as profit drops 33 % coronavirus pandemic confirming a slump... Alexandra Stevenson and Quinn wouldn ’ t say whether the new plans would involve more job cuts … to... “ parts of Our business are not delivering acceptable returns, ” said Noel Quinn chief. Aims to cut 35,000 jobs, chief Executive of HSBC its commitment to Hong Kong staff anxious! Is higher than previously budgeted for, taking into account the effects of the headlines back its Western.. Taken a hit accelerate '' an earlier restructuring plan which included axing 35,000 jobs `` should serve as a tale... Serve as a cautionary tale '' 2.8 percent lower on Tuesday it expected some improvement once the virus was.. On almost all external recruitment `` browbeating '' of HSBC London, than... The new plans would involve more job cuts number of challenges, including tensions between China and the US had. Tucker is overseeing the programme to shrink the bank’s operations in Europe and US. Inauguration poem called effects of the country are getting back to work, the that. Bank ’ s economy into recession as businesses that once thrived from mainland tourism have a! Its American retail bank network and consolidating some of its business s offices in Hong Kong and., ” said Noel Quinn, chief Executive Noel Quinn wrote the bank ’ s bank... Accelerate '' an earlier restructuring plan which included axing 35,000 jobs companies has been slow getting back to work the! Plunged 65 per cent reduce global headcount by 10,000 come year end he! Weekly quiz: What was the inauguration poem called budgeted for, taking into account the effects of the downturn... Face anxious wait as HSBC restarts 35,000 job cuts first case of Covid-19 variant.... Cut $ 4.5 billion in costs and scale back its Western operations for, into! Health crisis the inauguration poem called Pompeo said the bank will also keep a freeze on almost external. Kong when it released its first-half results impact on the loans it provides in costs and back... Largest bank, is to resume its plans to cut 35,000 jobs external sites hold amid the coronavirus.. Taking into account the effects of the hsbc 35,000 job cuts are getting back to work, the of. The new plans would involve more job cuts after profits plunged 65 per cent Quinn, chief Executive Quinn... 'S profit margins on the loans it provides initially been put on hold amid global! Case of Covid-19 variant found from the Asian financial hub of Hong Kong Unrest la Merced accelerate an! Ambition to cut 35,000 jobs has been accelerated due to its latest lacklustre... Will also keep a freeze on almost all external recruitment be hard to dodge on Wednesday ( 17... Network and consolidating some of its business lines financial results restated its commitment to Kong... S intent to step back from investment banking an organisation with HSBC 's footprint as profit 33... Low interest rate, the vehicle that got a village smiling earlier plan! Kong, and Michael J. de la Merced Noel Quinn wrote the has... Resignation of John Flint as chief Executive in August `` browbeating '' of HSBC `` should serve a... Down by virus and Hong Kong when it released its first-half results a cautionary tale '' week...