Citigroup cuts more jobs to invest cost savings in data quality and regulatory controls

US: Citigroup made more job cuts this week, as executives announced new share buybacks and reinforced CEO Jane Fraser’s commitment to cutting expenses.

On Wednesday (Jan 15), CEO Fraser said that some of the cost savings would be invested in areas like data quality and regulatory controls.

Sources familiar with the matter said managing directors in the wealth and technology units are leaving the bank. The bank is also cutting a team that handles data and analysis on the its clients.

Bloomberg reported that one source said Shadman Zafar, Citigroup’s co-chief information officer in Dallas, is among those leaving. Several managing directors were also let go from the Wealth at Work unit, which serves professional services clients, as part of a broader restructuring.

The bank said, “Leadership changes, retirements and targeted staff changes are all normal course when running a business.”

Citigroup is working to streamline its operations and boost profitability to better compete with rivals. It aims to cut 20,000 jobs by the end of 2026. At the end of the fourth quarter, Citigroup’s workforce stood at 229,000, down 10,000 from the previous year.

On Wednesday, the bank’s shares rose after it announced a US$20 billion share buyback despite executives lowering a key profitability target. /TISG

Read also: ‘This is never easy’ – BlackRock to cut about 200 staff

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