The cuts come on top of the roughly 23,000 in layoffs that the bank has
already announced, and they will result in its total headcount coming down
to roughly 300,000. As part of a "townhall meeting" with the bank's employees, Pandit laid out plans for the bank's future, with management taking the position that the "universal bank strategy remains unchanged."
The townhall's presentation cited the following steps that management has and will take to improve Citi's position.
- Underlying business remains strong, and revenues have been stable
- Expenses expected to be down 20% from peak levels
- Headcount expected to be down 20% in the near term
- Significant reduction in risky assets
- Very strong capital position
- Strong competitive position to seize future opportunities
-
George WhiteSee slide show from townhall meetingSee Dealscape post on Wall Street layoffsMore bank layoffs announced
It's a dismal day at Citigroup Inc. as the bank's employees gathered around to hear chief executive Vikram Pandit tell them that the bank plans to layoff 52,000 in its efforts to restore the institution to profitability.
