Citigroup to Complete Sweeping Overhaul This Week After Laying Off 5,000 Employees

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Citigroup has entered the final phase of an extensive overhaul to streamline its operations and enhance performance, the bank announced following a reduction of its workforce by 5,000 employees since September.

Citigroup to Finish Sweeping Overhaul

In a memo to employees acquired by Reuters, Citigroup CEO Jane Fraser said the biggest round of staffing moves, including reassignments and departures, will be communicated to personnel from Monday to Thursday.

Fraser acknowledged the challenges faced during this period of transformation and highlighted the significant changes implemented to simplify Citigroup's structure and bolster its competitiveness.

The restructuring initiative, initiated in September, saw a reduction in management layers from 13 to eight, marking a substantial shift in the organization's hierarchy.

The latest phase of reorganization represents the culmination of Citigroup's efforts to realign its operations and achieve greater efficiency. This is part of a broader objective to reduce its global workforce by 20,000 over the next two years.

Changes in the Workforce of Citigroup

Earlier announcements indicated eliminating 1,500 managerial positions, constituting 13% of the company's leadership roles worldwide. According to Fraser, these changes are projected to create around $1 billion in annual savings.

"While these decisions were not made easily, they have allowed us to strengthen how we run the bank and serve clients through enhanced connectivity and accountability," Citigroup said in a statement released on Monday.

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Citigroup, Citigroup Inc.

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