Jane Fraser, CEO, Citigroup, witnessed her total compensation rise by six per cent to $26 million in 2024, reflecting a $1.5 million base salary, a $3.7 million cash bonus, and $20.8 million in deferred stock.
This increase is attributed to her successful execution of major organisational changes, praised as the most significant since the 2008 financial crisis. These changes were outlined in company filings, with Fraser’s leadership highlighted as playing a crucial role.
However, the compensation disclosure coincides with the bank’s plans to cut around 20,000 jobs over the next two years in response to its worst quarterly performance in 14 years. This reduction, amounting to roughly eight per cent of its global workforce of 2,39,000, is part of a broad restructuring effort.
Additionally, as Citigroup prepares to list its Mexican consumer unit, Banamex, about 40,000 jobs will be axed. The bank’s goal is to reduce its staff to 1,80,000 employees.
In December 2023, the bank unveiled its intentions to offer laid-off staff partial bonuses based on their tenure this year as a component of the bank’s extensive restructuring set to finish by March 2024.
These partial bonuses will be disbursed to departing employees. According to media reports, Citigroup’s leadership, along with consultants, weighed options for reducing the workforce across different essential divisions as part of the restructuring efforts spearheaded by Fraser.
