Citigroup Layoffs: US Banking Giant Announces Job Cuts As It Sees Worst Quarter in 15 Years, Says Report
Citigroup is likely to cut jobs in 2024 as part of Chief Executive Officer Jane Fraser's bid to boost the Wall Street giant's returns, as per a report.
Mumbai, January 12: Citigroup is likely to cut jobs in 2024 as part of Chief Executive Officer Jane Fraser's bid to boost the Wall Street giant's returns, as per a report. The New York City-headquartered firm said that it expects to incur as much as USD 1 billion in severance and reorganisation costs. These costs would be incurred as part of the company's process to eliminate 20,000 jobs.
According to a report published by the Financial Times, the US banking giant said it expected to let go 20,000 employees in the “medium term” as it reported its worst quarter for 15 years. The firm expects to lower its annual costs to between USD 51 billion and USD 53 billion in the medium term, down from USD 53.5 billion to USD 53.8 billion this year and USD 56.4 billion last year. Meta Layoffs 2024: Mark Zuckerberg-Run Company Lays Off Technical Programme Managers at Instagram, 60 Such Jobs Being Consolidated or Eliminated, Say Reports.
The bank reported a USD 1.8 billion loss in the fourth quarter, hurt by a 25% drop in revenue from its fixed-income trading business and a $1.7 billion charge to replenish the FDIC fund after some bank failures. Fraser called the quarter “very disappointing” and said 2024 will be a “turning point” for the bank. Pixar Layoffs: Disney-Owned Animation Studio Likely To Lay Off 20% Workforce in 2024, Says Report.
Fraser launched the largest overhaul of Citigroup in decades in September, aiming to streamline the bank from 13 to eight management layers and improve its return on tangible common equity to at least 11% by 2027.
(The above story first appeared on LatestLY on Jan 12, 2024 08:57 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).