HSBC is considering cutting up to 20,000 roles, representing around 10% of its workforce, over the next few years in AI-driven overhaul, reported Bloomberg.
The job cuts would target mainly non-client facing positions in service centres worldwide.
The assessment is at an early stage, and no final decisions have been made, as per sources cited by the news publication.
The process reportedly began before the recent conflict in the Middle East.
Some reductions could result from selling or exiting certain business units.
A spokesperson for HSBC declined to comment.
HSBC had a workforce of approximately 210,000 at the end of 2025.
Since becoming chief executive in 2024, Georges Elhedery has overseen restructuring measures that include thousands of layoffs, sales, and business closures or mergers.
He has also steered HSBC further toward an Asia-focused strategy by moving its Hong Kong subsidiary Hang Seng Bank into private ownership.
Elhedery is implementing changes to company culture, including a new compensation system that rewards top performers with higher bonuses while encouraging underperforming employees to look for roles elsewhere.
The prospective job reductions are part of a medium-term plan expected to unfold over three to five years.
HSBC recently reported that it was on track to reach a $1.5bn cost-saving goal for the first half of the year, ahead of schedule.
Speaking at a Morgan Stanley conference on Wednesday, chief financial officer Pam Kaur said AI could create cost efficiencies in areas such as customer service and compliance functions, including transaction monitoring and know-your-customer processes.
Meanwhile, last month, Bloomberg reported that several Asian banks, including Singapore’s DBS Group, OCBC, UOB, Malaysia’s CIMB Group, and Japan’s SMFG are preparing bids for HSBC’s retail banking business in Indonesia.
