More than 300 bank employees laid off in one day!

Staff Correspondent

Multinational bank HSBC has suddenly issued layoff notices to more than 300 employees. Those who were close to retirement after a long career of 24 years have also been left out of this list. The employees are shocked by this sudden decision. They are spending sleepless nights worrying about the future of their families.

With the banking sector in Bangladesh already in a precarious situation, many workers who have lost their jobs are finding it almost impossible to find new employment.

Earlier, HSBC announced the closure of retail banking services in Bangladesh on July 30. Within a few days, layoff notices were handed out to employees.

This UK-based multinational bank opened its first branch in Dhaka in 1996. Currently, it has 7 branches and sub-branches, including 4 in Dhaka and 2 in Chittagong, and 11 ATM booths. In addition, special banking services were provided from five ‘Select Centers’.

The bank has now ordered account holders at these branches to withdraw their deposits as soon as possible. Retail services such as personal accounts, car and home loans, insurance services, term investments, and personal financing have been shut down. No new customers are being added.

At the end of 2024, HSBC Bangladesh had deposits of Tk 22,696 crore and loans and advances of Tk 18,928 crore. The bank made a record profit of Tk 1,860 crore that year. According to the bank’s financial statements, this profit was possible due to increased interest income, reduced deposit costs and good returns on investments.

Interest expenses alone have decreased by 20 percent to Tk 615 crore. On the other hand, income from loans has increased to Tk 1,908 crore, which is 12 percent more than the previous year. Therefore, the question is being raised in various quarters as to why retail banking was closed in a year of record profits.

Meanwhile, the closure of retail banking will not only affect general customers but also borrowers and students going abroad. The process of opening a ‘student file’ for studying abroad and transferring it to another bank midway is complicated and time-consuming. This has created a fear that students’ studies will be disrupted.

HSBC has also sparked controversy in the past. In the post-COVID-19 era, the bank closed 114 branches in the UK at once in 2022. Many employees lost their jobs even then. In Bangladesh, the bank was once accused of financing terrorism.

Workers who lost their jobs have expressed anger, saying that despite discussing various reasonable demands with the authorities, they are not being taken into account.

An official from the Dhanmondi branch said, “We have been told that we can work until March 31. We can resign earlier if we want. However, the facilities are being provided separately for everyone. Our reasonable demands have not been met yet.”

When asked about this, HSBC’s public relations department officer, Naureen Islam, said, “These are confidential information of the bank. Therefore, there is no opportunity to provide any information.”