HSBC France is going to remove a third of the size of its investment bank

A backup plan of employment (PSE), presented on Monday to representatives of the staff, plans to remove 235 posts on 678 by the end of the year 2021.

HSBC France will sharply cut the size of its investment banking division. One-third of the jobs, 235 of 678, will be deleted, and summary dismissals are not excluded, according to several union sources.

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The management of HSBC France, has presented on Monday to representatives of staff with a backup plan of employment (PSE) for its activity of bank financing and investment, focused on Paris. He plans to remove 235 posts on 678 by the end of the year 2021, according to union sources, confirming information from the newspaper Les Echos.

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"bound to be layoffs at the end"

The PES includes "a party to a voluntary departure and a part of redundancies," said Eric kenneth chalmers, FO HSBC. "This fits into the framework of the new strategic orientations of the bank, which wants to recover and preserve the competitiveness of its business Global Banking and Markets", its investment bank and market, said a source in trade union CFDT.

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according To the latter, the management plans of the voluntary retirement with pension, helped, leave, end of career, and solidarity (CFCS) and of the aid measures at the outset to conduct professional projects. "But there will not be enough volunteers, the age pyramid is not favourable to the measures of age", she says, because "it is the traders, rather young people, who are primarily concerned". "There will necessarily be redundancies at the end," she laments.

Transfers of certain activities from Paris to Hong Kong

"A taboo has fallen," with the evocation by the direction of "redundancy", judge Eric kenneth chalmers, according to which also "everything leads us to think that there will be not enough volunteers". "We load the ship, taking as a pretext the pandemic," disagrees with the delegate FO, denouncing a "windfall effect".

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The branch also provides for the "transfer of certain activities from Paris to Hong Kong, the cradle of the bank", namely the "structured products, interest rate and equity", and it intends to "reduce the number of customers who do not earn enough and the cost of capital," adds the source CFDT, who worries that the loss of many "big clients" come "shred the image of HSBC".

35 000 job losses in the world

The giant british announced in mid-June, wanting to boost its restructuring plan providing for 35 000 job losses in the world about 235 000, after having it suspended for a time during the pandemic Covid-19. The next economic and social committee (ESC) at HSBC France is planned for Friday.

On the retail banking of HSBC in France, the question of a possible assignment remains open. If the network is not sold, it could in turn be restructured, fear the unions, who expect to be fixed by the end of the year.