The British bank HSBC plans to scrape up to 15 percent of its total workforce in the next three years. That amounts to around 35,000 jobs. The financial group, which mainly does business in Asia, hopes to finally find its way up with that remarkable job cut.
HSBC has been struggling for some time. The bank was hit by the Sino-US trade conflict and the riots in Hong Kong. The outbreak of the new coronavirus also recently presses on the results. HSBC believes that the costs must be reduced by a total of 4.5 billion dollars in order to turn the tide.
“Parts of our company do not deliver acceptable returns. We are therefore drafting a revised plan to increase returns for investors,” said interim CEO Noel Quinn in an explanation.
In connection with the reorganization, the group records a write-down of more than 7 billion dollars. As a result, the profit in the past year halved to 6 billion dollars, despite the fact that the total annual income of the bank increased by more than 2 billion dollars to around 56 billion dollars.