HSBC's CEO Flint out, bank plans 4,000 job cuts

HSBC has announced the surprise departure of CEO John Flint after 18 months in the job, saying the bank needs new leadership.

HSBC Holdings PLC said Monday that Flint stepped down because "a change is needed" to meet challenges.

The bank’s global commercial banking head, Noel Quinn, will take temporary charge of the CEO role while a search is carried out, HSBC said.

Flint spent almost 30 years at HSBC before being named CEO last year.

A statement by HSBC chairman Mark Tucker said, "the board believes a change is needed to meet the challenges that we face and to capture the very significant opportunities before us."

As part of the bank's shakeup, HSBC will cut around 2 percent of its workforce or around 4,000 jobs this year as it seeks to reduce costs, accoridng to Reuters.

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HSBC released second-quarter earnings along with the announcement on Flint stepping down, posting $4.37 billion in net profit, up from $4.1 billion in the prior-year quarter, on higher revenue.

The Associated Press contributed to this article.