Citi layoffs in Singapore spark uncertainty and low morale: report

Citi employees in Singapore have faced a turbulent six months, enduring three rounds of layoffs since the US bank announced a major restructuring in September 2023. The rounds of cuts took place in November, January, and March, affecting thousands of workers.

The restructuring hit Citi's wealth management division particularly hard, with many employees receiving little notice before their termination, according to Channel News Asia (CNA).

Mark, a former employee who was laid off in March, said it was an abrupt process.

"Even those not laid off were told their job scope had changed," he said.

“Very competent, capable people were let go of. People who were valued by their peers and managers,” he told CNA. “It was very sad.”

Fluctuating headcount

Citi's Singapore workforce, which includes 8,000 to 8,500 employees, saw a reduction of approximately 500 people following the restructuring, reported The Straits Times.

Although Citi did not confirm this figure, a spokesperson acknowledged to CNA that its headcount fluctuates due to factors such as attrition and "changes to contract and non-employee resourcing needs."

The spokesperson added, "The major actions to align Citi’s structure with our simplified operating model were completed in March. Those actions required us to have some very talented and hard-working colleagues leave the firm."

Globally, Citi CEO Jane Fraser announced in April that the bank had eliminated around 7,000 positions, exceeding the initially expected 5,000. Media reports from January suggested that Citi planned to cut 20,000 jobs over the next two years, aiming to save US$2.5 billion in the long term.

Morale falters at Citi

For those still with Citi in Singapore, the layoffs have left a lasting impact, said CNA. Amy, a current employee in the global consumer bank division, described an atmosphere of low morale.

“There’s a lot of uncertainty and people are questioning the direction of the bank and whether (the layoffs are) really effective,” she said.

But Citi said it provided support to impacted colleagues, “including severance and outplacement support in line with our country policy.”