HSBC Holdings is preparing to cut senior management roles as part of a major restructuring aimed at cutting costs, the company reported. bloomberg.
Chief Executive Officer Georges Ergederi informed employees of the upcoming changes in an internal memo, suggesting that the consolidation of the bank’s business operations will lead to fewer overlapping roles, especially at senior levels.
The announcement will be made as follows HSBC is embarking on a major overhaul across its global business lines and regions.
The reorganization, while affecting senior management, aims to minimize disruption to front-line customer-facing roles, people said.
Under the new structure, HSBC plans to combine its global commercial and institutional banking divisions under the leadership of Michael Roberts.
Banks also Reorganize geographicallyconsisting of an Eastern division responsible for Asia Pacific and the Middle East, and a Western division overseeing the United Kingdom, Europe, and the Americas.
Meanwhile, Hong Kong and the UK will operate as separate units.
The senior reshuffle has already led to the departure of key executives, including Stephen Moss, head of the Middle East and North Africa, and Colin Bell, head of European operations.
The number of executives on HSBC’s new key business committees will be reduced from 18 to 12 as part of the reorganization.
HSBC has yet to comment on the internal changes, leaving some employees uncertain about their future within the new organizational structure.
The reorganization is one of the most significant moves since Mr. Elhederi took over as CEO, as he works to streamline banking operations and reduce costs amid challenging global market conditions.
HSBC has not yet released details about the financial impact of the changes, with more detailed information expected in February’s full-year results.
