Standard Chartered has no plans for major job cuts, its chief human resources officer said, while the bank continues to believe the hybrid is the best working model.
On Wall Street, bankers are bracing for a brutal period of downsizing and payrolls. Goldman Sachs is cutting 3,200 jobs worldwide, or about 6.5% of the workforce, as part of Chief Executive David Solomon’s plans to contain costs.
But while developed markets are likely to slip into recession this year, projections for Asia, where Standard Chartered generates much of its revenue, fare better.
“We are fortunate that many of the markets we are in are expected to experience very strong growth over the next couple of years, certainly this year and beyond,” Tanuj Kapilashrami said. Financial news on the sidelines of the World Economic Forum in Davos, Switzerland. “Do I believe that at Standard Chartered we have a concerted plan around job cuts? No. We are very optimistic.
However, Standard Chartered can still prune in some areas, Kapilashrami said, as part of “business as usual”.
“That said, we are constantly evaluating various parts of our business in market segments to ensure we remain competitive. For us, it’s as if nothing had happened. This is not an additional company-wide initiative or strategic action that we plan to take. »
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According to Kapilashrami, about 64,000 employees — or 75% of the bank’s 85,000 global employees — are hybrid.
This represents an increase from the 48 employees operating under a formal hybrid work arrangement, FN reported from the World Economic Forum 2022, which took place in May due to the pandemic.
“Forward-looking companies are going to use this idea of flexibility to increase productivity and customer service levels. It’s a gamble we’ve taken when it comes to Standard Chartered and our people.
The approach goes against its rivals. Citigroup UK chief executive Jane Fraser told Davos this week the bank was not beyond bringing slackers working from home back to the office if they weren’t working.
“You can see how productive or unproductive someone is, and if they’re not productive, we bring them back to the office or site, and give them the coaching they need until they’re done. ‘He brings productivity back again,’ she told a Bloomberg an event.
Since rolling out its flexible working program in November 2020, Kapilashrami said Standard Chartered has found hybrid employees to be more productive than employees working 100% from home or in the office.
“All the data suggests to us in terms of the outcome, which is the performance of the bank, and the level of [employee] commitment that the hybrid is the best,” she said.
“There are issues we face. How do we keep a strong sense of culture in the company and ensure the learning model is not disrupted?
“Overall, it’s had a massive positive impact on our employer brand. People choose to come and work for us because they feel it’s a company that values that level of flexibility and thinks strategically about some of those problems.”
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To contact the author of this story with comments or news, email Kristen McGachey