New York, March 01, 2024, The Europe Today: Citigroup, amidst its most significant organizational overhaul in decades, has officially notified the State Department of Labor regarding the impending layoff of 286 employees in New York. The disclosures, submitted earlier this week, delineate the impact on three specific segments of the bank’s operations.
According to the filings, 239 employees from Citigroup’s primary banking subsidiary, 44 from its broker-dealer unit, and three from its technology arm will be affected by the layoffs.
This move follows Citigroup’s declaration in January to reduce its workforce by 20,000 jobs over the next two years, acknowledging a challenging quarter marked by one-off charges that led to a $1.8 billion loss. Chief Financial Officer Mark Mason, during the announcement, outlined the bank’s ambition to achieve an 8% reduction in its global workforce by 2026, incorporating the layoffs as part of the ongoing reorganization.
The restructuring initiative, unveiled by CEO Jane Fraser in September, aims to simplify Citigroup’s structure by divesting from non-core markets and emphasizing profitability. The bank is undergoing a comprehensive transformation to position itself for sustained success in dynamic financial landscapes.
While these strategic changes are deemed necessary for long-term viability and efficiency, the impact on the workforce is evident. The affected employees will undergo challenges amid the evolving landscape, and Citigroup pledges to provide support during this transition period.
CEO Jane Fraser emphasized the broader goals of the restructuring plan, stating that it is pivotal for Citigroup’s adaptability and resilience. The bank remains committed to navigating the evolving financial landscape with renewed focus, ensuring it remains well-positioned to meet the needs of its clients and stakeholders.
As Citigroup continues to navigate its transformative journey, the affected employees, along with the broader financial community, will closely monitor the outcomes and implications of these strategic decisions.
