CEO Jane Fraser leads the next phase with strategic realignment decisions
Citigroup’s CEO, Jane Fraser, along with the executive management team, disclosed additional adjustments in an extensive reorganization on Monday. Memos shared with Reuters and insights from informed sources revealed the communication channels employed, including emails and conference calls, to convey these alterations.
Fraser emphasized the significance of the restructuring, stating, “The actions we’re taking… involve some difficult, consequential decisions, but we believe they are the right steps to align our structure with our strategy.”
Within the U.S. personal banking division, roles underwent consolidation, appointing Brad Wayman as the new Chief Operating Officer. Chris McCullough succeeded Wayman as the head of mortgage and small business lending, while Patrick Gallagher assumed the role of head of execution. Notably, Dena Roten and Ryan Crowley will transition out of their current roles.
Citi is set to designate Nacho Gutiérrez-Orrantia, one of its most senior bankers in Europe, as the new head of banking in the region. The full scope of the reorganization may involve significant layoffs, according to sources, with final announcements expected early next year.
In a memo, Fraser informed employees that details about the overhaul would be officially announced in the coming year. The restructuring, outlined in Citi’s third-quarter earnings presentation, aims to reduce management layers, functional roles, and committees in one of the most significant overhauls in decades.
The communication strategy for Monday’s announcements involved verbal meetings last week, providing an opportunity for staff to potentially apply for alternative roles within the organization. Specific details about potential layoffs in compliance, risk management, and technology sectors were highlighted in September.
