These will see it consolidate middle and back office activities in the US, and “streamline functions to simplify our organisation and reduce total operating costs by 10-15 percent.”
Noel Quinn, HSBC Group Chief Executive, said: “We are taking decisive action today to address underperforming parts of the business, to redistribute capital to the growth opportunity, to simplify our business – and in so doing reduce the cost base of HSBC.
“But it’s for a purpose, and that purpose is to grow.”
He added: “We are going to take three actions. First, we are going to reshape the parts of the Group that are underperforming from a return perspective.
“Second, we are going to reduce the cost base of the group whilst not affecting our investment capacity – we will continue to invest for growth.
“Third, we are going to make the Group simpler to operate, reduce complexity so that we have greater pace, greater agility and a less bureaucratic environment.”
As part of the restructuring, HSBC will consolidate its number of businesses from four to three, with its Global Private Banking, and Retail Banking and Wealth Management segments to form a single Wealth and Personal Banking (WPB) unit.