HSBC Holdings’ ongoing restructuring under CEO Georges Elhedery is set to significantly impact its global workforce, particularly in investment banking roles across Europe, the UK, and the Americas. The bank will wind down its equity capital markets and advisory services in these regions over the coming months, shifting its focus to core operations in Asia and the Middle East, according to an internal memo.

This move will affect employees in the affected regions as HSBC plans to complete existing deals before closing these operations.Staff engaged in shutting down the investment banking units will be offered retention bonuses until their roles end. However, many positions are expected to be eliminated or relocated to strengthen the bank’s presence in Asia and the Middle East.

The restructuring is part of Mr Elhedery’s broader plan to make HSBC more competitive and cost-efficient. The bank is targeting at least $3 billion in expense reductions, equivalent to roughly 10% of its annual costs. A significant portion of this is expected to come from reducing its $19 billion wage bill.

Additionally, employees in corporate and institutional banking have been warned to expect smaller bonuses in 2025, compounding workforce concerns. While some staff may find opportunities in regions where HSBC is bolstering operations, uncertainty looms for others as job cuts remain likely.

HSBC’s pivot reflects its struggle to compete with Wall Street giants in the West and highlights a strategic shift toward markets where it holds a stronger competitive edge. For employees, this marks a period of transition with significant implications for career trajectories and financial incentives.