Axe to fall mainly on senior roles in HSBC restructuring

Bank's overhaul aimed at reducing duplicate roles, says group chief executive

- Zenith Wong

HSBC's restructuring is expected to lead to job cuts that will primarily involve those in senior roles as opposed to a company-wide cut, group chief executive Georges Elhedery said during the bank's third-quarter earnings call on Oct 29.

Mr Elhedery clarified during the call that the bank's overhaul, first announced on Oct 22, would primarily involve reducing duplicate senior roles.

"The primary reason for this reorganisation is to make us a simpler, leaner organisation with faster decision-making (and) stronger empowerment of our front-line people."

He added that job cuts will take place swiftly, with the outcome of the restructuring to be disclosed in February 2025.

"In terms of cost savings, our current analysis shows that we expect net benefits from this exercise, with any upfront costs more than compensated for through a short payback period afterwards."