Monday, January 7, 2008

Citigroup poised to axe up to 32,000 jobs

Citigroup, the world's largest financial services group, is believed to be planning to axe up to 10 per cent of its workforce in a bid to stem rising losses.

The bank is expected to make an announcement about the job cuts — which could see as many as 32,000 people made redundant — when it unveils its full year figures on January 15.

Such a move would represent one of the first emergency measures implemented by Vikram Panditt, who was appointed the bank's chief executive last month.

Wall Street rivals expect Citigroup to write down as much as $18.7 billion in the fourth quarter of the year to cover bad investments the bank made in bonds backed by sub-prime mortgages.

The Times

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