HSBC will move more than 1,200 staff in Britain to permanent working from home contracts in an attempt to cut costs post-lockdown(s). The bank has gone one step further than introducing “hybrid working” contracts, where staff work from home some of the time, which some have predicted will become “the norm” when the country (and the world) unlocks. Reuters has the story.
HSBC is moving more than 1,200 staff in Britain to permanent working from home contracts, in one of the strongest indications yet of how banks are locking in changes to employees’ work patterns as a result of the pandemic to cut costs.
Around 70% of the bank’s 1,800 call centre staff based across England, Wales and Scotland had volunteered to never return to the office, Unite, one of Britain’s biggest employment unions, told Reuters.
Scores of companies have quickly cemented hybrid working and cut office space, but HSBC’s move to base some staff permanently at home goes further than most rivals opting for a mixed approach.
Such changes could lead to wellbeing concerns long term if not handled properly, Unite said.
A HSBC UK spokesman said: “We are in discussions with contact centre colleagues who serve HSBC UK retail customers about ways that we can offer flexibility on work location while ensuring the way we work meets our customers’ needs. These discussions are continuing.”
Unite said HSBC has offered staff a £300 per year working from home top-up payment to cover additional expenses such as higher heating and electricity bills.
A surprisingly high percentage of staff opted to work permanently from home, with only 5% saying they would prefer to fully return to the office.
Dominic Hook, the union’s national officer, said the contract changes for the 70% opting in were being finalised with teams, with those taking it up expected only to come in to HSBC offices for training.
A quarter of staff declined the offer as they wanted to work in the office at least some of the time, while 5% preferred to go back to the office permanently.
When Manhattan businesses began to reopen in March, only 10% of office workers returned to the workplace. Even in the long term, employers in the city expect 56% of their office staff will continue working remotely at least part of the time – an indication that work habits after Covid will be very different.
Reuters’ report on HSBC is worth reading in full.
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Soon to be replaced by workers in other countries. If it can be done remotely, you don’t need a British passport for it.
This has been repeatedly raised, yet so many are ignoring it.
Or algorithms running on a server somewhere.
Even if not replaced abroad there’s plenty of cheaper UK locations than anywhere HSBC is currently based where people will be happy to take on these roles remotely.
Call centres are not renowned for length of service awards. With just natural wastage all those 1,200 jobs could be located overseas in less than five years.
I wonder how many will extract a commercial rate for premises and facilities. Or will there be yet another weak roll-over – to capital and its predations, whilst unions just ‘Tut’?
They’re laughing all the way to the bank. £300 a year to turn a room in your house into an office? How much does that extra room cost per year?
They will all be happy to do it, until they are told their pay is being frozen. When are the councils going to start claiming business rates from these people? If your home is a place of ‘work’ then the rates should be applied. Have the H&S visited all the home ‘offices’ to ensure they are ‘Covid Secure’? An injury at home when working is the responsibility of the employer!
Not only is the home COVID secure there will be insurance implications for both the homeowner and company.
There are also GDPR and other privacy concerns with people working from home, many not on a VPN, with other adults able to look over shoulders at screens and access clients personal information.
And the next step, of course, is to gradually offshore these jobs!
I’ve been involved in the outsourcing of accounts functions to India. Each one has been a disaster because management have failed to calculate how much efficiency is added through communication with people you are sat next to. In one case they brought the entire function back into the UK, and in the other two a small team was created in the UK to carry the teams in India.
However, if you get the employees in the UK to prove it can work, make them work remotely, and work out how those inefficiencies can be overcome, then …
Waiting for colleagues to get around to responding on whatever chat app they’re currently ignoring is a total nightmare vs a quick chat over the top of the desk.
I’m anti-social at the best of times but there’s no way I’d choose to work from home 100% of the time.
HSBC UK the next bank to go under. Customer Service is overlooked until its too late, there is seldom any going back. Bloody fools.
Customer service is so 20th Century and bloody fools they certainly are.
I’m pretty sure there are insurance/liability issues to working from home 100% of the time. The reason I know this is a former employer restricted our wfh for this reason.
A friend of mine who works for a large, solid multinational was concerned last summer that the next step after the home office would be an even more intense shift of these home offices to countries in the 3rd world.
This week, they got news of a major restructuring in that direction and British redundancies to come because of that.
Next step: Britain becomes the third world
When I worked for a big multinational company about ten years ago we were all offered the opportunity to become home workers if we wanted to – with laptops and mobile phones it made it much easier to do so – anyway, all you had to do was apply to work from home and that was that – you got lots of help setting up your ‘work station’ at home etc and quite a lot of people leapt at the opportunity to work from home and not have to come into the office anymore except for the odd important meeting which wasn’t very often or if they preferred they could just join-in via a conferernce call and number provided. I was tempted to work from home myself but held back for a little while to see how others found the experience – I’m glad I did really because the initial novelty of home working quickly wore off for many homeworkers who were steadily starting to regret their decision – among many things they would complain about was for example feeling they were being ‘left out of the loop’ etc when important decisions were made and they didn’t get to hear about or were the last to know, they found trouble getting assistance when they were struggling with their work, they complained of feeling isolated and had no one to talk to about their work related problems and complained that their ability to contact someone quickly about an urgent problem could be lengthy and troublesome – when they worked in the office they could usually discuss their work issues almost immediately face-to-face with someone who could usually help there and then and the problem could be resolved almost immediately rather than it taking hours, days or sometimes even weeks to resolve where homeworking was concerned … but most of all many homeworkers say that they missed the office comradery … that cohesiveness that made them feel connected with the rest of the workforce which you just cannot form working home alone.
Things may have changed today but evidently I decided back then not to work from home.
I decided that it was much healthier to (try at least) keep work and homelife as seperate as possible.
All part of the reset to benefit giant corporations