Another day in the Obama economy, another announcement of massive layoffs. Today’s news comes from Citigroup, where 11,000 employees are getting pink slips.
On Wall Street and around the world big banks are firing workers. Now, Citigroup is joining the club with its plan to cut 11,000.
The big job cut is the first big move by Michael Corbatt, Citigroup’s new chief executive who surprisingly took over the top job from Vikram Pandit in October, in a coup engineered by Citigroup’s chairman Michael O’Neill.
Sweeping employee reductions have been the trend at big banks for two years—HSBC has cut 30,000, Bank of America axed 30,000, UBS recently announce another 10,000 cuts. The Citigroup firings indicate that Corbatt has a view that his bank’s costs are too high and out of line. (Read More)
The announcement didn’t hurt Citi’s stock, but that’s got to be small consolation to the tellers and other workers losing their jobs. In this Obama economy it’s going to be really hard for them to find new jobs.