Citi Job Cuts After Bonuses Announcement
Recent reports have indicated that Citi is making significant job cuts both before and after announcing bonuses to its employees. Last week, the bank announced a round of 1,000 job cuts before bonuses were distributed, and now it seems that more cuts are on the horizon for March, after bonuses have been paid out.
According to Reuters, the exact number of employees to be cut in March has not been disclosed by Citi. These impending job cuts have created a sense of unease among the bank’s staff, who believe that the bank’s stringent performance reviews have set the stage for mass layoffs.
Performance Ratings and Job Cuts
Citi evaluates its employees using a rating system where they are scored between one (the highest) and four (the lowest). However, some employees have raised concerns about receiving lower ratings this year despite a history of high performance. This sudden shift in performance evaluations has left many employees feeling vulnerable and uncertain about their future at the bank.
Long-term employees who were previously rated as top performers are now finding themselves with lower ratings, leading to suspicions that high-performing individuals are being targeted for job cuts.
Bonuses and Cost-Cutting
Despite hiring extensively in its investment bank, Citi has managed to keep expenses flat. There have been reports of “mixed” bonuses, with some employees in the markets business reportedly receiving zero bonuses. However, Citi has adjusted its cost guidance for 2026, aiming for a group-wide cost ratio of “around” 60%.
A spokesperson for Citi stated that the bank will continue to hold its employees to high standards and make necessary adjustments to align staffing levels with business needs. The ongoing cuts are part of the bank’s efforts to enhance efficiency through technology and align its workforce with its strategic goals.
Conclusion
The job cuts at Citi, both before and after bonuses, have raised concerns among employees about the fairness of the performance evaluation process and the security of their roles within the bank. As Citi continues to make changes to its workforce and operations, employees are bracing themselves for further developments in the coming months.
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