HSBC has cut around one in 10 of its most senior bankers, marking the largest reduction in its top ranks since detailed disclosure records began in 2010.
The banking group saw 134 Material Risk Takers leave during the year, with severance payments totalling almost $70 million (£51.3 million). One senior employee received a payout of around $1.8 million.
Material Risk Takers are senior employees whose trading, lending or dealmaking decisions can have a significant impact on a bank’s financial position.
The reductions form part of Chief Executive Georges Elhedery’s restructuring programme, which is aimed at simplifying HSBC, cutting costs and concentrating resources on its strongest operations.
HSBC has already withdrawn from a number of lower-returning businesses and closed much of its mergers and acquisitions and equity capital markets operations across the UK, USA and continental Europe, leaving its corporate banking activities increasingly focused on Asia.
Thousands of roles have been removed since Elhedery became chief executive in 2024, although he has suggested that many of the most difficult restructuring decisions have now been taken.
Further workforce changes could follow as HSBC increases its use of artificial intelligence. Reports have suggested that as many as 20,000 positions, roughly 10% of the overall workforce, could eventually be vulnerable to automation, although no such programme has yet been formally confirmed.
The restructuring reflects a broader trend across global banking, with institutions looking to reduce costs, simplify operations and deploy AI across back-office and administrative functions.
