Citigroup to cut 75,000 jobs

Citigroup said the 75,000 job cuts represented a reduction of about 20% of its staff, leaving it with 300,000 jobs worldwide “in the near term”. The cuts will come from redundancies, the sale of units and natural wastage, the bank said.

Citigroup has lost more than $20bn (£13.6bn) in the past year because of the global financial crisis. It has posted four straight quarterly losses and some analysts believe the bank will not make a profit again until 2010.

“Certainly [the job cuts] will fall particularly heavily on London and New York,” Citigroup chairman Win Bischoff said at a business forum in Dubai. Citigroup’s chief executive Vikram Pandit has come under pressure from critics who have doubted his ability to turn around the company and weather the financial crisis.

Last week, shares in Citigroup dropped below the $10 mark. They are down almost 70% this year.

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