HSBC to shed 25,000 jobs globally

Besides layoffs, bank announces withdrawal from Brazil and Turkey as it mulls leaving London hub and expanding in Asia.

    Banking company HSBC has announced it will cut up to 25,000 jobs as part of a global restructuring that entails its withdrawal from Brazil and Turkey, as it also considers abandoning London as its headquarters.

    In a statement to the Hong Kong stock exchange on Tuesday, HSBC said it intends the restructure will save it $5bn in annual costs within two years.

    Counting the Cost: Big banks, big criminals?

    In a statement, Stuart Gulliver, the chief executive, said the bank was undertaking "a significant reshaping of its business portfolio".

    "It is redeploying resources to capture expected future growth opportunities and adapting to structural changes in the operating climate," he said.

    The bank would aim to save $4.5bn to $5bn in annual costs by 2017, including selling its businesses in Turkey and Brazil, the statement said, adding it would step up investments in Asia.

    It also said it expected to complete a review of where to locate its headquarters by the end of this year.

    The UK has imposed stricter controls on the banking sector since the 2008 global financial crisis that have entailed greater costs.

    An investor update report from HSBC on Tuesday said there would be a 10 percent reduction in jobs, totalling between 22,000 and 25,000.

    SOURCE: AFP


    YOU MIGHT ALSO LIKE

    Interactive: Plundering Cambodia's forests

    Interactive: Plundering Cambodia's forests

    Meet the man on a mission to take down Cambodia's timber tycoons and expose a rampant illegal cross-border trade.

    The priceless racism of the Duke of Edinburgh

    The priceless racism of the Duke of Edinburgh

    Prince Philip has done the world an extraordinary service by exposing the racist hypocrisy of "Western civilisation".

    China will determine the future of Venezuela

    China will determine the future of Venezuela

    There are a number of reasons why Beijing continues to back Maduro's government despite suffering financial losses.