HSBC boss Stuart Gulliver expected to announce thousands of job cuts

HSBC building at night

The chief executive of HSBC, Stuart Gulliver, is expected to signal next week that thousands of jobs are to be cut when he outlines his latest strategy for the global banking business, according to reports.

After he took the helm in 2011, Gulliver outlined the need for 25,000 job cuts from a global workforce that then stood at 296,000. The annual report for 2014 puts the current number of employees at 266,000, or 257,600 full-time equivalents.

Another 10,000-20,000 cuts are reported to be on the cards as Gulliver attempts to pacify investors by reducing costs in an effort to bolster profitability. He is also expected to use the strategy day on 9 June to provide an update on plans to further retrench internationally, including from Brazil and Turkey.

Gulliver has already said he will set out on the day the methodology the bank will use to compare head office locations, forming the basis of any decision to move its HQ out of London.

The bank caused political shockwaves in April when it said it was considering pulling out of the city, where it has been based since 1992 after relocating from Hong Kong. Gulliver said at the time that any change in location would affect just 250 roles and the board would be presented with the view of the executive team by the end of the year.

He has also admitted that the bank’s reputation was damaged by revelations about a tax evasion strategy its Swiss arm deployed for clients.

HSBC declined to comment.

Powered by Guardian.co.ukThis article was written by Jill Treanor, for theguardian.com on Monday 1st June 2015 20.16 Europe/Londonguardian.co.uk © Guardian News and Media Limited 2010

 

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