FT: HSBC may slash up to 10,000 jobs to cut costs

UPDATE 1-HSBC to cut up to 10,000 jobs in drive to slash costs-FTMore

UPDATE 1-HSBC to cut up to 10,000 jobs in drive to slash costs-FTMore

HSBC's push to cut their headcount is said to come from "high paid roles", typically, executives who have been with the bank for a good long time working their way up the old banking career ladder. He pointed to HSBC's appointment last month of banking veteran Philip Lee as its Singapore-based vice-chairman of global banking for South-east Asia - a newly created role.

HSBC's planned sale of its French retail bank could take between 4,000 and 8,000 workers off the lender's payroll, according to a person familiar with the matter. The latter has a record of taking effective steps to lower costs when he was in the Royal Bank of Scotland.

Banking news also aid HSBC is looking to divest and sell a retail operation in France under the cost-cutting plan.

The cuts are predicted to reduce the bank's wage bill by 4%.

A HSBC spokesman declined to comment on the report.

Another person said the plan would not prevent the bank from continuing to hire "revenue-generating" staff in high-growth regions in Asia, where it generates almost 80 per cent of its profits.

Cutbacks were already on the rise after the London-based bank began encouraging managers to look for greater savings through a program known internally as Project Oak.

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The hope is that the 134 countries that originally pushed for reform can reach an agreement in 2020. To meet that, the OECD said there'll need to be agreement on its unified approach by January.

The bank has already eliminated some 4,700 jobs as it grapples with Brexit uncertainty and global trade squabbles. Barclays, Deutsche Bank, Citigroup and Societe Generale have all made similar moves this year.

The HSBC stock had a better performance in September at the FTSE 100 compared to August.

The plan drawn up by HSBC's interim chief executive officer, Noel Quinn, envisages role reductions focused on the European and USA operations.

Shares in HSBC are trading down 0.4 per cent at 599p following the news.

Starting at the top, HSBC Securities Services' global head of business development, Nick Bruce was among the latest wave of laid-off employees after having served with the lender since 2004.

The Hong Kong protest movements and political responses had been causing fluctuations in HSBC's shares.

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