International Asia Singapore remains a strategic ace to HSBC bank; 4000 jobless people soon...

Singapore remains a strategic ace to HSBC bank; 4000 jobless people soon as part of bank’s restructuring




- Advertisement -

Despite restructuring pains that will bring about the loss of 4,000 jobs, Singapore is still a strategic spot for British bank HSBC’s operations in Asia. It will also remain a key driver in the bank’s operational growth.

Streamlining its workforce by 2% is the bank’s way of dealing with the global turmoil straining many of the world’s commercial giants.

Based on its recent annual report, as of December 2018, HSBC had 235,217 employees.

Those senior in rank are the target in the latest job cut, chief financial officer Ewen Stevenson says in a first-half earnings conference call. HSBC will pay out a total of US$650 million (S$898 million) to US$700 million in severance costs, he adds.

- Advertisement -

The bank, which makes more than 80% of its profit in Asia, declined to disclose more details about the layoffs, including whether the cuts would extend to its Singapore unit.

“Singapore is one of eight strategic countries that we are investing in,” says chairman Mark Tucker in a call with the media. “We are putting focus and support to the business, and it remains key to our overall Asian and Southeast Asian ambition.

“So Singapore is very much part of the future, part of the growth of the group,” he says.

Head honcho leaving after 18 months

The bank also announced that its chief executive officer, Mr John Flint, will exit the bank after just 18 months in the job.

A Reuters report has it that Flint’s exit was precipitated by differences of opinion with the chairman over the CEO’s more tentative approach to cutting expenses and setting revenue targets for senior managers to boost profit growth.

The CEO’s departure was announced together with the bank’s half-year results on Monday as it predicts a gloomier outlook for its business. An escalation of the trade war between China and the United States, an easing monetary policy cycle, unrest in its key Hong Kong market and Brexit are hurting business.

HSBC is one of several European lenders eliminating roles in recent months.Follow us on Social Media

Send in your scoops to 

- Advertisement -

Yee Jenn Jong to Goh Chok Tong: Don’t blame social media for fewer people wanting to join politics

Singapore—Standing Tall, the second volume of former Prime Minister Goh Chok Tong’s biography, was launched only last Friday (May 7), but the Workers’ Party’s Mr Yee Jenn Jong is already questioning one of the statements Mr Goh makes in the book. The...

‘Go back, bloody Indians,’ says S’porean man to expat family at Pasir Ris Beach Park

Singapore – A man who repeated he was Singaporean and an NS (National Service) man was spotted accusing an expatriate family of four of spreading the Covid-19 virus in Singapore. A video of the altercation, reported to have occurred on May 2,...

Ho Ching explains to Calvin Cheng why S’pore is vaccinating slowly

Singapore – Information on why Singapore has not been able to vaccinate fast enough was highlighted by former Nominated Member of Parliament Calvin Cheng on social media. Mr Cheng took to Facebook on Sunday (May 9) to share screenshots of a Facebook...
Follow us on Social Media

Send in your scoops to