HSBC to press at 35,000 job cuts

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HSBC, the UK’s largest bank, is to resume plans to cut 35,000 jobs.

New chief executive Noel Quinn gave news of his 235,000 employees around the world in a memo perceived by the BBC and confirmed as authentic by the bank.

The lender first announced the plan in February, but put it on hold amid the coronavirus pandemic.

HSBC said it would try to find interns for jobs for those affected, but layoffs were likely.

In April, the bank said it would fire the cuts, saying it did not want to leave staff unable to find work elsewhere during the coronavirus epidemic.

The move is part of a restructuring program that aims to reach $ 4.5 billion (£ 3.6 billion) in cost reductions by 2022.

Some cuts are likely to come from the merger of support roles in commercial banking and investment banking. The bank will also examine the least profitable of the business.

” Why now? “

At its peak, the bank employed more than 300,000 people, but since the global financial crisis of 2008, HSBC has sold businesses and leftist countries, including Brazil in 2016.

Various business leaders aim to make HSBC a simpler business, especially after the bank agreed to pay $ 1.9bn for regulators in 2012, more poor, money laundering controls.

Syndicate Unite, said the news because of the apprehension with many locking measures still in place.

“The question that needs to be asked today is why now, HSBC? Dominic Crochet, United National Police officer, said. “Right now a lot of HSBC staff are sacrificing to work from home or to take risks by traveling to bank offices and branches to help customers. ”

“Uniting will continue to oppose any mandatory job losses at HSBC and work hard to make sure staff are heard and their jobs protected,” he said.

The bank also faces political challenges. It is dependent on China, the attitude towards its big Hong Kong market house, and the power of the dollar bank, the currency of choice for many commodity markets.

Earlier this month, US Secretary of State Mike Pompeo criticized HSBC for supporting China’s transformation from imposing new security laws in Hong Kong.

Pompeo also said the US stood with its allies against China “coercive to intimidating tactics”.

The Trump Administration has repeatedly attacked Beijing for what it says is an attempt to end Hong Kong’s autonomy.

HSBC, which is based in the UK but was trained in Hong Kong in 1865, declined to comment on Mr. Pompeo’s remarks.

Last month, China’s parliament approved a resolution that would impose Hong Kong law, which criminalizes criticism of the city government.

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