All posts tagged: HSBC

Don’t fight AI, HSBC CEO tells staff members as banks begin job cuts

Don’t fight AI, HSBC CEO tells staff members as banks begin job cuts

Published by Sam Flores

LONDON: HSBC appealed to staff members not to fight AI on Wednesday (May 20), saying it would destroy jobs while creating new ones, as banking rival Standard Chartered sought to calm workers over comments that the technology would replace “lower-value human capital”. The predictions from two of the world’s biggest banks are the clearest sign yet about the upheaval from a technology that can consume and process vast swathes of data, completing tasks previously done by people. CEO Georges Elhedery urged HSBC staff members to make sure they were “not fighting us, not disenfranchised, not anxious, overwhelmed, and resisting the change”, pledging that AI could make them “more productive versions of themselves”. “We all know generative AI will destroy certain jobs and will create new jobs,” Elhedery said. Standard Chartered said on Tuesday it would eliminate almost 8,000 jobs as it replaced what its CEO called “lower-value human capital” with technology. Bill Winters said StanChart would cut 15 per cent of its corporate function roles by 2030, highlighting how staff members in so-called back office …

Calls for UK bank rule change after Barclays, HSBC, Lloyds, NatWest update

Calls for UK bank rule change after Barclays, HSBC, Lloyds, NatWest update

Published by Sam Flores

The government has been urged to r einstate a windfall tax on banks after a surge in profits. A union wants the rate returned from 3% to 8% after big four UK lenders – Barclays, HSBC, Lloyds and NatWest – revealed an eye-watering £14bn total profit in first quarter. The Trades Union Congress (TUC) renewed its call for an increase in the current bank surcharge, which was reduced from 8% to 3% of profits above £100m by the Conservative Partyu government in 2023. “Getting banks to pay more tax on their profits is plain common sense when they’re raking in billions and the rest of the country is struggling to get by,” said Paul Nowak, general secretary of the TUC. READ MORE Law change on table for all drivers over age 70 after May 11 “With Donald Trump’s war abroad unleashing economic chaos at home, it’s only right that banks’ bumper profits are taxed fairly and used to shield households and firms from the damaging impacts of the war.” after newsletter promotion “After the Tories …

Lloyds, HSBC, Natwest, Barclays customers face major change from Thursday | UK | News

Lloyds, HSBC, Natwest, Barclays customers face major change from Thursday | UK | News

Published by Sam Flores

Shoppers across the UK could soon see changes to the way they pay at tills after the Financial Conduct Authority (FCA) confirmed plans to scrap the national limit on contactless card payments from Thursday. Currently, shoppers can spend up to £100 in a single contactless transaction, but the regulator says it will remove the cap and instead allow banks such as Lloyds, HSBC and Barclays and payment providers to set their own limits. The move means some customers may be able to tap and pay for much larger purchases, depending on the rules set by their bank or card provider. Under the new approach, firms will be able to decide their own contactless limits based on factors such as fraud protection, spending patterns and security checks. David Geale, executive director of payments and digital finance at the FCA, said: “Contactless is people’s favoured way to pay. We want to make sure our rules provide flexibility for the future, and choice for both firms and consumers.” Many retailers already accept contactless payments for everyday purchases, and …

HSBC Encouraging Departures By Offering “Little To Zero” Bonuses For Underperformers

HSBC Encouraging Departures By Offering “Little To Zero” Bonuses For Underperformers

Published by Jenni Sidey

HSBC is preparing to award little or no bonuses to some bankers as it adopts a tougher, performance-driven pay model similar to its US rivals, according to Bloomberg. Underperforming staff in investment banking and wealth management — including some managing directors — may be encouraged to leave after bonuses are paid in the coming weeks, according to people familiar with the matter. Final decisions have not yet been made. The move reflects the strategy of CEO Georges Elhedery, who has pushed to align HSBC’s compensation practices with those of Wall Street firms. Since taking over in late 2024, he has led a major restructuring, shutting down much of the bank’s US and European deals and equity underwriting operations and merging commercial and investment banking. Several senior executives have exited as part of the overhaul. According to Bloomberg, HSBC said it remains committed to rewarding employees competitively, with pay linked closely to performance. The bank’s 2024 bonus pool remained flat at $3.8 billion, defying an industry trend toward higher payouts. Some staff, particularly in corporate and …

HSBC spinoff: Bank’s top execs face tense shareholders in Hong Kong calling for a breakup

HSBC spinoff: Bank’s top execs face tense shareholders in Hong Kong calling for a breakup

Published by Sam Flores

Hong Kong CNN  —  HSBC’s top brass defended their strategy Monday to frustrated shareholders in the lender’s largest market, as Europe’s biggest bank continued to face calls to be split up. At an informal shareholder meeting in Hong Kong, Chairman Mark Tucker and CEO Noel Quinn took questions from investors on issues ranging from how the bank was approaching demands for an overhaul of its business to its purchase of Silicon Valley Bank’s UK arm. In prepared remarks, Tucker and Quinn each reiterated the board’s recommendation that shareholders vote against a resolution on the docket for its annual general meeting in May that would force the bank to come up with a plan to spin off or reorganize its Asian business — the lender’s main source of profits. Tucker said the board was unanimous in its opposition to the resolution, stating plainly: “It would not be in your interest to split the bank.” He said the board had previously reviewed a range of options for restructuring the bank, and concluded that such alternatives would “materially …