According to sources, HSBC Holdings is targeting the majority of its junior employees with a new bonus plan. This suggests that the company is becoming more open about compensation.
Furthermore, a Bloomberg article on Monday reported that the financial services giant plans to implement a “target pay variable” plan for junior employees who did not have specific bonus targets assigned to them previously.
Bloomberg, citing an HSBC letter, claims that the programme introduces employees to a concept known as “on target variable pay.”
The report determined the figure using internal compensation data related to individuals in similar roles at the beginning of the year and external benchmark data from peers.
Moreover, HSBC spokeswoman informed Bloomberg that most grade 4-8 colleagues will receive target variable pay this year to provide clarity and transparency on performance’s impact on pay decisions.
In addition, the research states that affected personnel will range from junior operators and branch staff to mid-ranking managers.
The Accelerating Wealth Programme of HSBC
HSBC released the study concurrently with launching its Accelerating Wealth Programme, marking the company’s shift to a skills-based hiring and development strategy.
Laura Powell, Global Head of HR, HSBC Wealth and Personal Banking and Global Functions, stated in a blog post that the innovative programme “prioritises transferable skills above industry experience and qualifications and gives people the training they need to become a licenced Premier or Private Banking Relationship Manager.”
Powell stated that the program’s goal was to assist people in making a career transition and “easily begin a new chapter of their career.”
Lastly, even though the initiative is currently only available internally in mainland China, Hong Kong, Singapore, and India, it has already been implemented internationally in Hong Kong and Singapore.
