HSBC Offers Staff Cash Incentive to Convince a Colleague

HSBC is offering £2,500 ‘sweeteners’ to employees who convince colleagues to move from the bank’s current UK HQ in Canary Wharf to Birmingham – Guardian reports.

The bonus scheme, offering payouts from £750 to £2500, dependent on the seniority of the relocating employee, was created as Britain’s biggest bank struggles to entice staff to relocate northwards.

Just over half of the required 1,040 employees have agreed to relocate to the new centre of the bank’s UK operations. HSBC has already attempted to make the move attractive to its employees by offering housing and schooling support.

António Simões, HSBC’s Chief Executive, explained that it was “trickier” than expected to convince some specialists to make the move.

Last week, Simões told reporters: “We have had some challenges but today we are ahead of where we thought we would be, with around 53% of the roles filled.”

Many British banks, as well as other businesses, are eying up moves away from the capital as the cost of London office space soars. Convincing staff to make the move is often incumbent on HR. Last year, 25% of relocating professionals were offered a compensation package to do so.

The most typical package involved a boost in pay for temporary accommodation. Almost seven out of 10 employees put this at the top of their relocation wish list, according to research by The Candidate.

Brian Matthews, Managing Partner at The Candidate, explained that financial incentives and relocation packages are just one of the ways that employers can convince staff to move.

“Our research suggests that relocation packages might be one answer to combatting this issue. However, we also found that what candidates desire from a relocation isn’t what businesses are offering. It would seem that companies are concentrating on financial incentives, when in fact candidates really want a balance.

“While money is still important, many are keen to make sure that they will be happy in the new place they are living, and that their loved ones are content.”

Of the 2.2million people that work in financial services, two-thirds now work outside of London – according to data from industry lobby group TheCityUK.

Source: HR Grapevine