Citi may undertake additional workforce reductions later this year after eliminating 7,000 roles since the fourth quarter of 2025, as the bank accelerates automation and shifts investment towards growth businesses.
Speaking after Citi reported its strongest quarterly revenue in more than a decade, Chief Executive Officer Jane Fraser said the bank had entered a "new growth mode" focused on investing in businesses including banking, wealth management and prime finance. At the same time, executives indicated further cost reductions remain on the table, according to eFinancialCareers.
Headcount falls as restructuring continues
Citi has continued to reshape its workforce while investing in strategic areas of the business. Key workforce figures include:
- 7,000 jobs eliminated since the fourth quarter of 2025.
- 5,000 roles cut during the second quarter of 2026 alone.
- Global workforce stands at 219,000 employees.
- $800 million spent on severance payments so far this year.
According to eFinancialCareers, many of the eliminated roles are linked to Citi's regulatory transformation programme, launched after regulatory actions taken against the bank in 2020.
Between the fourth quarter of 2020 and the fourth quarter of 2022, Citi increased its workforce from 210,000 to 240,000 employees as it hired specialists including data experts and project managers to support remediation work. The bank is now reducing some of those positions as the programme nears completion.
Automation becomes a bigger priority
Alongside workforce reductions, Citi is expanding its technology-driven efficiency programme.
According to Chief Financial Officer Gonzalo Luchetti, the bank has identified more than 100 processes for automation as part of what he described as a structural efficiency initiative.
Luchetti said Citi is also reducing temporary spending tied to its regulatory transformation programme.
Fraser said she meets weekly with Chief Operating Officer Anand Selvakesari and Tim Ryan, Vice Chair at Citi, to review cost reduction initiatives.
Growth investments continue
While reducing costs in some areas, Citi is increasing investment in businesses it expects to drive future growth.
During the bank's Investor Day in May, Citi announced plans to make $5 billion in cumulative incremental investments between 2026 and 2028.
Fraser told investors the bank is now operating from a stronger position after reporting its best quarterly revenue in more than ten years.
She said Citi is investing in businesses including:
- Banking
- Wealth management
- Prime finance
The bank intends to continue hiring in these areas while trimming roles elsewhere.
Regulatory work nears completion
Fraser said Citi's remediation work linked to regulatory consent orders is now 90% complete.
She said much of the programme has already been validated by auditors, although work relating to data governance and regulatory reporting is still ongoing.
Fraser declined to provide a timeline for completing the remaining work, noting the final decision rests with regulators.
More severance remains possible
Although Citi has not announced another round of layoffs, Fraser said the bank may incur additional severance costs during the second half of the year, without providing further details.
According to eFinancialCareers, the bank continues to reduce operating expenses linked to its transformation programme while expanding automation across internal processes.
Citi's latest strategy reflects a dual approach. The bank is investing in businesses expected to generate long-term growth while simplifying operations, reducing transformation costs and using automation to improve efficiency. Whether additional workforce reductions follow will depend on how quickly those initiatives progress over the coming months.