HSBC 'fired bankers on bonus day'

HSBC (0005) fired investment bankers on the day they were due to learn the amount of their bonuses, amid cost-cutting measures by new chief executive Georges Elhedery, the Financial Times reported.

HSBC told its UK investment banking staff last month that they would be laid off, the FT said, citing sources.

Moreover, bankers at the vice president level and above who were made redundant in the restructuring of HSBC's investment banking division did not receive any bonuses.

In January, HSBC said it would close its merger and acquisition advisory and equity capital markets businesses outside Asia and the Middle East.

Earlier this week, HSBC was reportedly considering outsourcing some of its fixed income trading order flow to a third-party firm.

The bank would continue to deal with its customers but would outsource some of the background processes such as technology, analytics and order execution.

The deliberations within HSBC are at an early stage and could fail to result in a deal, the report added.

The British bank is said to open to a deal with firms including Citadel Securities and Jane Street Group.

Since Elhedery's appointment last July, the CEO has already slashed hundreds of senior jobs at the Asia-focused bank, cut back its deals teams in the West and reorganized its operating units in a bid to cut costs and restore focus to its sprawling business.

Staff reporter and Reuters