HSBC is reportedly considering cutting up to 20,000 jobs globally as part of a medium-term restructuring plan that would see the bank lean heavily on artificial intelligence to reduce its headcount.

According to Bloomberg, chief executive Georges Elhedery is exploring the use of AI to streamline back and middle-office functions, with non-client-facing roles across the bank’s global service hubs most at risk. The potential cuts would represent approximately 10% of HSBC’s total workforce, which stood at 208,720 full-time employees at the end of December 2025, of whom around 34,700 are based in the United Kingdom.

The restructuring is understood to form part of a three-to-five-year plan and may include not replacing departing staff, as well as reductions linked to business exits or sales. Bloomberg reports that discussions regarding the job cuts began before the outbreak of conflict across the Middle East, and that no final decision has yet been reached. HSBC has declined to comment on the reports.

Mr Elhedery, who took charge of the bank in 2024, has moved swiftly to overhaul its operations since launching a major restructure in October of that year. He has already overseen significant job reductions, with managing director numbers falling by 15% since the restructure began, and the bank disclosed in its latest annual report that it had incurred $1 billion in restructuring costs, primarily related to severance. He has also introduced a Wall Street-style compensation model that rewards top performers with a greater share of the bonus pool whilst encouraging under-performers to seek opportunities elsewhere.

Beyond headcount, HSBC has been actively reshaping its portfolio of businesses. The bank has commenced a sale process for its Singapore life insurance manufacturing business, and last month completed the acquisition of the outstanding 37% stake in its subsidiary Hang Seng Bank for $13.6 billion, at a premium of 33%.

Mr Elhedery has previously spoken of his ambition to use generative AI tools, available to all staff, to simplify processes, procedures and policies and reduce complexity across the organisation.