HSBC starts downsizing; up to 45 employees forced to resign

KARACHI - The HSBC Pakistan has decided to cut down its number of employees either of the high or low ranks, sources told The Nation on Friday.
According to reliable sources, 40 to 45 HSBC employees have been forced to resign, while letters were issued to them on Friday.
Sources further said that the bank has taken this decision on account of facing tropical losses in its current balance sheet, which might be posting decline in the bank’s earnings and profitability portfolio.
It is important to mention here that HSBC is not listed with the Karachi Stock Exchange, however, according to State Bank’s law, those companies which are not listed with the KSE are required to public their financial results and other related financial disclosures.
Sources claimed that the bank is applying this option in a bid to bring down its administrative expanses, which are growing day by day.
For knowing the version of HSBC on this issue, the correspondent contacted the corporate and media communications concerned personnel of HSBC Bank but he was not available for comments.
It is interesting to note here that revenue earned by HSBC showed the HSBC international’s profitability and solvency remained intact despite the global financial crisis.
However, HSBC’S Pakistan financial results for the quarter ended September 30, 2009 have not been disclosed yet.