HSBC to cut 10% of its workforce in France

HSBC, the global banking giant, has announced plans to cut 348 jobs in France as part of a voluntary redundancy scheme. This move represents about 10% of the bank’s workforce in the country. The decision comes as CEO Georges Elhedery leads a cost-cutting drive aimed at reducing expenses by $1.8 billion by the end of 2026.

In addition to the job cuts, HSBC has also recently sold its retail and insurance divisions in France as part of a broader strategy to retreat from slow-growing European and North American markets. The bank has faced challenges in these regions, where it has struggled to compete against larger domestic players.

“These developments in France reflect the acceleration of the implementation of HSBC’s strategy aimed at simplifying the organization to make it more agile. This is in response to an uncertain economic environment, growing competition, and high internal costs,” HSBC stated.

The decision to cut jobs in France is part of a larger effort by HSBC to streamline its operations and adapt to changing market conditions. The bank is focused on simplifying its structure and becoming more agile in order to better navigate the challenges of today’s financial landscape.

Overall, HSBC’s restructuring efforts in France and globally are a reflection of the bank’s commitment to staying competitive and efficient in a rapidly evolving industry. By making strategic changes and focusing on core business areas, HSBC aims to position itself for long-term success in the face of economic uncertainty and increasing competition.

Source: Reuters – Reporting by Mathieu Rosemain, Editing by GV De Clercq and David Goodman