In a move that’s raised eyebrows across the finance sector, multinational banking giant HSBC has reportedly laid off several senior investment bankers on the same day they were set to receive their bonus information — without awarding bonuses to many of those let go.
The dismissals, as reported by the Financial Times, affected staff at vice-president level and above. It comes as part of a broader restructuring push led by HSBC’s new Chief Executive Officer, Georges Elhedery, who took charge in January 2024.
The cuts are being interpreted as a signal of the bank’s shifting internal priorities, with financial discipline seemingly taking precedence over long-standing workplace traditions.
What has drawn particular attention is the timing of the layoffs. According to Financial Times, those affected were expecting to be informed of their bonuses on the day they were let go — making the development especially jarring for insiders.
One individual familiar with the matter remarked, “It’s very unlike HSBC… the bank has had a reputation for looking after its people.”
While the bank has not issued an official statement, industry observers believe the decision reflects a wider recalibration of its investment banking division. Amid mounting economic pressures, rising interest rates, and a slowdown in global deal-making, several major financial institutions are reining in spending. HSBC appears to be joining that trend.
The bank’s recent actions suggest a growing emphasis on cutting underperformance and enhancing long-term profitability. Elhedery’s leadership has already sparked speculation that more aggressive cost-saving measures may follow in the months ahead.
