View the article online at http://citywire.co.uk/new-model-adviser/article/a675245
HSBC restructures advice arm; 1,149 jobs at risk
by Jun Merrett on Apr 23, 2013 at 12:38
HSBC is to restructure its advice arm putting 1,149 jobs at risk.
The restructure will affect 3,166 employees but the bank will create 2,017 new roles.
As part of the restructure the bank will merge its advisers into its consumer retail banking business and create a diploma qualified advice force of 853 people.
The bank will scrap its commercial financial adviser division and cut 942 relationship managers who do not give advice.
The bank said the changes mean that HSBC UK Premier customers who already hold £50,000 of savings and investments with the bank will have a relationship manager qualified to give financial advice as a single contact for both their banking and financial advice needs.
The bank said the restructured advice service would operate with the same charging structure as before.
Brian Robertson, chief executive of HSBC Bank, said: ‘I understand change is always unsettling, particularly for those directly affected. However, I also firmly believe what we are proposing is essential in order for us to fulfil our customers’ expectations.
‘With the banking behaviour of our customers continually evolving we must change our business to meet their needs. We are doing everything possible to offer impacted employees opportunities from the many newly created roles, and I’m confident a significant majority will remain with the bank.’
Antonio Simoes, head of UK Bank and deputy chief executive of HSBC Bank, said the changes were part of a step away from a sales-based approach and aimed at improving its culture to serve customers.
‘Better serving our customers, particularly for their wealth management needs, is essential if we are to fulfil our aspiration of becoming the world's leading international bank.
News sponsored by:
Click here to watch a series of sponsored interviews with Jupiter's fund managers on the UK equity market.
Today's top headlines
More about this article:
More from us
- AXA pulls out of retail banking advice; 450 jobs to go
- HSBC scraps tied advice service; 650 jobs go
- HSBC advisers join Towergate over independence fears
- Lloyds, RBS and HSBC unveil RDR advice charges
- HSBC scraps sales incentives for branch staff