Citigroup executives and consultants working on CEO Jane Fraser’s reorganization have discussed job cuts of at least 10 percent at several major companies, CNBC reported Monday, citing people with knowledge of the process.
The bank has warned of job cuts as part of a major overhaul it unveiled in September, but has said it will assess the extent of redundancies and cost cuts in the current quarter. The reorganization, known internally as “Project Bora Bora” according to CNBC, is intended to give Fraser more direct control as she tries to simplify the Wall Street giant and boost its stock price.
The talks are in their early stages and the number of people cut could change, CNBC said, adding that the lender had hired Boston Consulting Group for the plan.
Fraser’s push to eliminate regional managers, co-heads and others with overlapping roles will translate into job losses of more than 10 percent for executives, the report said.
Last month, Citi said it would reduce management layers from 13 to eight. In the top two tiers of leadership, 15 percent of functional roles were reduced and 60 committees were eliminated, the report said. The bank’s global workforce remained at 240,000 this year.
First print: November 7, 2023 | 0:34 IST