Citigroup will let go 286 of its employees in New York as part of its attempt to cut its workforce strength by eight per cent, globally. The financial institution is hoping to complete this reorganization by 2026.
The lender’s filings reveal that this is a major overhaul for the organisation, and probably its biggest.
It is expected that about 239 jobs will be cut in its primary banking unit, while 44 people will be let go from the broker-dealer arm. Three from the technology team will also be rendered jobless.
The job cuts do not come as a shock or a surprise because early this year the organisation had revealed its intention to axe 20,000 jobs by 2026. At the time, the organization had experienced a tough time with losses amounting to about $1.8 billion.
The reorgansiation exercise was also planned last year itself with the aim of simplifying the organisational structure and concentrating on the areas with potential for profit.
Recently, Citibank appointed Vis Raghavan as the head of its banking business. It is pertinent to mention here that Raghavan has moved from JP Morgan where he completed a successful tenure of about 20 years. At Citi, Raghavan will be second-in-command to Jane Fraser, CEO, Citi. He will serve as executive vice-chair, heading investment, corporate and commercial banking. Interestingly, the 57-year-old Raghavan has decided to move from JP Morgan close on the heels of being appointed the only head of investment banking there.
