Standard Chartered is set to trim its global corporate and institutional banking headcount by about 10 percent as part of an aggressive plan to cut costs, Reuters reports, citing people familiar with the matter.
The job cuts will be rolled out beginning this week across all the major business centers starting with Singapore and Hong Kong, according to the report.
The staff reduction marks the first major move by former senior HSBC banker Simon Cooper who joined StanChart in April as chief executive of corporate and institutional banking.
Cooper has been working to overhaul and streamline the structure of the corporate and institutional banking division, the largest unit of the bank, the report noted.
StanChart’s Chief Executive Bill Winters said earlier this month that the UK-based bank’s income and profits were at unacceptable levels.
The bank’s total global workforce stood at 84,477 as of end-June. It is not clear as to how many were accounted for by the corporate and institutional banking division.
“We are making our corporate and institutional banking division more efficient,” a bank spokesman told Reuters, without revealing how many jobs are to be axed.
In the quarter ended September, Stanchart’s corporate and institutional banking income dropped 7.5 percent from the year-ago period to US$1.6 billion, pulling the bank’s total operating income down nearly 6 percent.
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