25% Reduce of Workforce in HSBC, Barclays, etc.

According to data compiled by Bloomberg, by the end of 2013 the global workforce in British four largest banks- Royal Bank of Scotland, HSBC, LlOY, and Barclays- will decrease by 24% to 606,000, compared with the the peak number in 2008. This will be the lowest since 2004, when the total number of employees in four banks still was 594,000 in all.


Facing a shrinking income from investment banks due to the Europe crisis and the bad debt crisis in the regional banks, the firms suffer a large pressure because the investors keep cutting fixed costs.

In 2012 these four banks have achieved a total revenue of £108 billion ($164 bllion), which has decreased 13% compared with the total in 2008 while costs as a proportion of revenue increased over the period.

The total employee costs are consist of salaries, bonuses, an pensions for the banks. The senior lecturer, Erturk, on banking at Manchester Business School has argued that instead of cutting the number of employees, the banks would consider a better training to the staff in order to deliver a clear explanation of their services and avoid large costs in potential scandals.

Reference: http://www.bloomberg.com/news/2013-05-27/u-k-banks-cut-189-000-with-employment-at-nine-year-low.html

Edit: by Simeng Zhang


¨Growinfinance.com is an international financial job site specializing in bringing together top companies, business schools and candidates to one networking platform. More than 1,000 recruiters, banks and financial institutions have advertised their vacancies on our job board. We are keen to provide the best job opportunities and career advice for all the professionals working in banking and financial markets.¨

This entry was posted in Financial Industry Insight and tagged , , , , , , , , , , , , , , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s