Citigroup CEO Jane Fraser has delivered a strong message to the bank’s employees, urging them to “deliver the change or get off the train”. This comes in the wake of the largest restructuring in the bank’s history, as Fraser aims to simplify and strengthen the institution. Since taking charge earlier this year, she faces the challenging task of reducing risk and improving profitability. She held a townhall meeting where she emphasized the bank’s high ambitions and urged employees to support its goals.
Although the exact number of job cuts has not been disclosed, Fraser’s restructuring plan has already caused a stir among employees. Senior executives have already left the company as a result. Despite potential backlash, Fraser remains resolute in her decision-making, stating that these changes are necessary for the bank’s shareholders. Citi has previously sold off businesses and addressed regulatory concerns, but its stock price has still lagged behind its competitors.
This sweeping reorganization is another step in Fraser’s strategy to enhance profits and streamline operations since assuming her position. While Citigroup continues to grapple with a consent order from regulators to rectify internal control deficiencies dating back to 2020, Fraser is determined to drive meaningful change within the bank.