Citigroup to axe around 3,500 tech roles in China
Citigroup is trimming its workforce size by approximately 3,500 at two of its technology centres in China, reported Reuters.
The aim is to consolidate and streamline the bank's global technology operations to enhance its risk and data management systems.
The staffing reductions will affect the China Citi Solution Centres in Shanghai and Dalian, with the bank planning to complete the process by the start of the fourth quarter of this year, the news agency said citing a statement by Citi.
The jobs being cut are predominantly full-time positions, a source privy to the development disclosed.
Some of the jobs from these centres would be relocated to other technology hubs within the company, although the specifics regarding the number of jobs or their destinations were not provided.
This announcement follows last month's report, which indicated that Citigroup was reducing around 200 information technology contractor roles in China.
In March, the bank communicated internally its strategy to decrease its reliance on IT contractors and to increase its in-house IT staff, in response to penalties imposed by regulators concerning data governance and control shortcomings.
The downsizing in China is part of Citigroup's global restructuring plan, which has also seen the bank scaling back operations in the US, Indonesia, the Philippines, and Poland.
The China-based service and technology unit is tasked with delivering financial technology and operations services to support Citigroup's global business operations.
Citigroup is currently in the process of establishing a securities unit in China, still maintain the regional presence.
Post-reduction, Citigroup's staff count in China is expected to be around 2,000, which includes several hundred employees within the technology division.
Citi Japan, Asia North and Australia banking head Marc Luet was quoted by Reuters as saying: "Citi continues to pursue the establishment of a wholly owned securities and futures company in China."
"Citigroup to axe around 3,500 tech roles in China " was originally created and published by Retail Banker International, a GlobalData owned brand.
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