Citigroup is expected to implement another round of job cuts in March, following the elimination of about 1,000 positions earlier this month, according to two sources familiar with the matter.
The upcoming layoffs are likely to be announced after employee bonuses are paid. While the scale and locations of the cuts have not been disclosed, the plans have not been previously reported.
Citi’s shares gained 65.8% in 2025, outperforming peers and an index tracking broader bank stocks by a wide margin.
The reductions come as Citigroup chief executive Jane Fraser continues a broad restructuring effort aimed at cutting costs, addressing regulatory issues, and improving profitability to narrow the gap with rivals. One source said the March layoffs are expected to affect managing directors and other senior staff across multiple business lines.
“Some senior managers have already been reassigned to different divisions to secure roles ahead of the headcount reduction,” one source said. Another source noted that many senior employees were also affected in the earlier round of cuts this month. The sources declined to be identified as they were discussing internal personnel matters.
In a statement, Citigroup said it plans to continue reducing its workforce through 2026 as part of its ongoing transformation.
“These changes reflect adjustments to ensure our staffing levels, locations, and skill sets are aligned with current business needs, efficiencies gained through technology, and progress in our transformation programme, which is nearing its target state,” the bank said.
Citigroup chief financial officer Mark Mason said during an earnings call that the bank’s global workforce declined from 240,000 in 2022 to 226,000 by the end of 2025. He added that headcount reductions are expected to continue as the bank reassesses its expense trajectory, noting that severance-related costs totalled US$800 million last year.
The latest job cuts, together with another reorganisation announced in November, represent the next phase of Fraser’s turnaround strategy. Fraser, who became CEO in 2021, received a one-time US$25 million equity award for progress on the overhaul and was elected chair of the board in October.
In 2023 and 2024, Citigroup publicly announced major layoffs as it streamlined management layers and divested assets. However, the most recent reductions have been carried out more discreetly, according to a third source.
The workforce cuts come as Citigroup begins to see regulatory relief. The US Federal Reserve has closed actions related to trading risk management weaknesses, while the Office of the Comptroller of the Currency withdrew a 2024 amendment to a consent order originally issued in 2020.
Citigroup shares rose 65.8% in 2025, significantly outperforming peers and the broader banking sector. The bank also repurchased US$13.25 billion worth of shares last year. So far this year, Citi’s shares are down 0.8%.
