HSBC announces plans to cut 840 IT jobs in the UK

HSBC has announced plans to move 840 UK jobs to other locations around the world as a cost-cutting strategy.

The bank is set to move roles in its IT department to sites in India, China and Poland by the end of March next year.

Over 600 of these jobs are based in Yorkshire, with 595 cuts in Sheffield and Tankersley, and 30 in Leeds. The other sites affected are in Birmingham and London.

This announcement follows on from HSBC confirming in June 2015 that significant cost reductions are being planned for the end of 2017, which could affect up to 8,000 UK jobs.

Dominic Hook, Unite national officer for finance, has branded HSBC “ruthless” and “reckless” to relocate so many UK jobs to low cost countries.

He said: “HSBC’s decision to axe so many IT jobs is as ruthless as it is reckless. For almost a year staff have been left in the dark about their futures, only to be told that before being shown the door they’re expected to train someone in India or China who will do their job for less money. It’s a deeply cynical move by a bank which wants to be an ‘Employer of Choice’.

“Offshoring IT jobs to so-called ‘low cost economies’ is extremely short sighted. As IT glitches across the banks continue to prove, it is ultimately the customers who will suffer the consequences.

“Unite will continue to support our members throughout this process and work with our sister international trade unions to end this cynical race to the bottom.”

John Hackett, chief operating officer of HSBC UK, commented: “In our investor update in June 2015, and many times since, we have stated that we are targeting significant cost reductions by the end of 2017.

“As part of a global relocation exercise, around 840 non-customer-facing IT roles will transfer from the UK to other sites around the world by the end of March 2017.

“The UK will continue to play an important role in HSBC’s global IT infrastructure, employing several thousand IT professionals.”