Standard Chartered (STAN.L), the British multinational bank, is set to initiate staff layoffs in key hubs such as Singapore, London, and Hong Kong as part of its ongoing cost-cutting strategy. According to a report by Bloomberg News on Wednesday, the bank aims to reduce costs by more than $1 billion by 2024. The previously announced cost-efficiency programme targeted savings of $1.3 billion.
While the exact number of job cuts is yet to be finalised, sources familiar with the matter mentioned that it could exceed 100 positions. Standard Chartered emphasised that the review of role requirements is a routine activity within the bank.
This move by the London-listed bank follows a trend of major financial institutions reducing their workforce. In May, Reuters reported that Goldman Sachs plans to eliminate nearly 250 jobs in the near future, while JPMorgan Chase & Co (JPM.N) intends to cut approximately 500 positions.
Earlier this year, Standard Chartered demonstrated its commitment to streamlining operations by selling its Jordanian business to Arab Jordan Investment Bank (AJIB.AM). This divestment aligned with the bank’s strategy to exit seven markets in Africa and the Middle East.
The cost-cutting measures undertaken by Standard Chartered reflect the ongoing challenges faced by the banking sector. Economic uncertainties, changes in consumer behaviour, and increased digitisation have prompted many financial institutions to reassess their operations and find ways to enhance efficiency.
The bank’s spokesperson reiterated that the staff reductions are part of their regular review process, aiming to align resources with evolving business needs. As the industry continues to adapt to a rapidly changing landscape, it remains to be seen how other financial institutions will respond to the ongoing pressures and implement similar cost-saving initiatives.