Citigroup is in the midst of its most significant reorganisation in decades, and management is currently assessing its workforce to determine who will be retained, reassigned, or let go by November 2023.
A global memo sent on 4 October, 2023, by Sara Wechter, chief human resources officer, Citigroup, outlined this process.
While some roles will undergo changes and new positions may emerge, roles that no longer align with the company’s new structure will be phased out. Further details of this upcoming transformation will be revealed in November.
The impacted employees will have the opportunity to apply for other roles within the company. Additionally, Citigroup will provide eligible employees with severance pay and notice periods. The contents of this memo have only been disclosed recently although the Bank chooses to not comment on the same.
In a recent meeting for its managing directors, the Bank discussed the measures outlined in the memo. This half an hour long meeting, attended by executives, was reportedly called with just 15 minutes of advance notice.
Jane Fraserhad, CEO, Citigroup, previously announced a comprehensive restructuring aimed at simplifying the bank’s organisational structure. This move followed the divestment from non-core markets and a renewed focus on profitable areas. While the CEO’s memo did not specify the exact number of job cuts, it emphasised that these departures were intended to enable revenue-generating staff and dealmakers to concentrate more on client interactions.
This overhaul is expected to help bolster its share price, which have been lagging of late. The changes will also provide the CEO with greater direct control over the bank’s various businesses.