The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Financial Services Financial And Insurance Activities Financial Service Activities, Except Insurance And Pension Funding 64 - Financial service activities, except insurance and pension funding
130 jobs Number of planned job losses
Announcement Date
7 January 2016
Employment effect (start)
7 January 2016
Foreseen end date
31 December 2016
Description
The banking and financial services organisation HSBC Bank Malta plc has announced that it plans to cut 130 jobs through a voluntary retirement scheme. HSBC believes that this measure will curb operating costs and address its decline in profitability.
This scheme, that will cost the bank €14.7 million to implement, is expected to result in a one-time reduction in the bank’s profits. In the long-term HSBC envisages that this measure will lead to a €4.4 million reduction in yearly operating costs.
It is assumed that the execution of this restructuring initiative is imminent as:
Provisions had been made to cover the entire cost of this scheme in the financial year ending December 2015;
It is believed that the bank has already received hundreds of applications from interested employees who were keen to apply as soon as the possibility of such a scheme was unveiled in November 2015.
Sources
7 January 2016: www.maltatoday.com
7 January 2016: www.timesofmalta.com
Citation
Eurofound (2016), HSBC Malta, Internal restructuring in Malta, factsheet number 86369, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/86369.
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