Citigroup is preparing for a wave of job cuts as chief executive officer Jane Fraser restructures the Wall Street giant to operate from five main businesses. 

The company will no longer have three regional chiefs overseeing its business in about 160 countries around the world, according to a statement on Wednesday (Sep 13). At least four of Fraser’s senior deputies got new roles in the shakeup, and the firm is looking for a head of banking, which includes oversight of the investment-banking unit.

The moves will result in a number of job cuts, though the company doesn’t yet have firm targets for how many employees will be affected, according to people familiar with the matter, who asked not to be identified discussing personnel information. 

“As Citi swiftly transitions to this new model, the firm is committed to retaining top talent and supporting employees who are leaving the company,” the New York-based bank said in the statement. 

The firm is scrapping its two longtime core operating units, one of which focused on institutional clients while the other housed the firm’s consumer offerings.

Citigroup will now focus on five main operating units, including a services unit led by Shahmir Khaliq, a trading division headed by Andy Morton and a US personal-banking division under Gonzalo Luchetti.

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Peter Babej will lead the firm’s banking division on an interim basis, while Andy Sieg is set to join the bank later this month from Bank of America to lead Citigroup’s wealth offerings. 

All five men will be on Fraser’s executive management team, which will expand to 19 people. That includes Ernesto Torres Cantu as head of international, while Sunil Garg continues to lead North America.

Fraser, who will discuss the restructuring at an investor conference on Wednesday, has been seeking to streamline Citigroup’s sprawling global operations, which employ 240,000 people. But the effort has so far failed to convince investors. Shares are down 40 per cent since she took over in early 2021, more than double the decline of any major US rival in that period.

“We’re making bold decisions,” Fraser said in the statement. “These changes eliminate unnecessary complexity across the bank.” BLOOMBERG