HSBC planning to lay off 10,000 more posts

HONG KONG: HSBC is planning to lay off up to 10,000 staff, a report said, just weeks after announcing the resignation of its chief executive and the cutting of 4,000 posts citing a weak global outlook.
The latest losses, mostly in high-paid roles, are part of a fresh cost-cutting drive by interim boss Noel Quinn as the banking titan struggles to adjust to falling interest rates, Brexit and the long-running trade war, the Financial Times reported.
“We’ve known for years that we need to do something about our cost base, the largest component of which is people — now we are finally grasping the nettle,” the paper quoted an unnamed source as saying.
“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.” The London-headquartered bank last month announced the shock exit of CEO John Flint after just 18 months in the hot seat but gave no reason for the decision.
At the same time it revealed it would axe two per cent of its global workforce, or roughly 4,000 mostly management jobs, in a new restructuring aimed at weathering the global turmoil.
Still, its reported first-half net profit rose 18.6 per cent on-year to $8.5 billion. It is due to report third-quarter earnings this month. Flint had replaced Stuart Gulliver, who himself pushed a massive restructuring programme to axe 50,000 jobs and exit core markets. — AFP