The bank Citigroup announced Monday its intention to eliminate 52,000 jobs in the coming months reflecting the most drastic cutback of those announced since the financial crisis unfolded and the second most bulging of the last fifteen years in the United States.
"We expect to reduce staffing by 20 percent since the maximum of 375,000 employees who had reached the end of 2007," he explained to his employees today the chief executive of Ctigroup, Vikram Pandit in an internal memo that was given access to the Efe .
That cut which amounts to about 75,000 jobs has been tackled in part so far this year so who already have been eliminated some 23,000 jobs thus remaining 52,000 others.
According to analysts this figure means that Citigroup will eliminate more houston tx it jobs in coming months that the entire U.S. financial sector in the past four months.
In total and according to the consulting firm Challenger Gray & Christmas, companies in the financial sector have been eliminated so far this year 129,150 jobs which still must be added those of Citigroup.
In 2007 the dismissals were about the sector's 153,000 jobs more than triple by 2006.
In the note sent to employees that once was the largest U.S. bank Pandit adds that these reductions are part of the bank's plan to cut by 20 percent its costs will fall to between 50,000 and 52,000 million dollars in 2009.
The manager told his employees that with these measures are that the bank is looking for "the long-term winner in the sector" and asked them to continue meeting the needs of customers during 2009 a year that will be "difficult" for them.
"This is the moment where you earn more lasting loyalty" added the bank's chief executive, who pledged to "strengthen Citi and position it so that all can benefit" at the time that inevitably conditions improve. "
Those 52,000 jobs to be deleted from Citigroup represent the second largest cuts announced in a single day among those registered by the consulting firm Challenger Gray & Christmas in the last fifteen years.
According to his data, the largest cut so far was the decision by IBM in July 1993, when informed of the elimination of 60,000 jobs.
According to the consulting firm, which collects such data since 1993, these cuts are followed in that order announced by the U.S. Air Force in 2005 (40.000 seats), Ford in 2002 (35.000), Kmart in 2003 (35.000), Boeing in 2001 (31.000) and the U.S. Postal Service in 2002 (29,870).
Also noteworthy among the larger job cuts in recent years, announced by Boeing in 2008 (28.000 seats), Daimler Chrysler in 2001 (26.000), the School District of Alameda in 2003 (26.000) and General Motors in 2005 (25.000).
The cut comes shortly after Citigroup announced in October that American Express reported a cut 7,000 jobs, National City and a 4,000 Barclays another 3,000.
The titles of Citigroup, which are part of the Dow Jones Industrial index, fell on the New York Stock Exchange on 6.62 percent and closed at 8.89 U.S. dollars each.
Between January and September the bank lost 10,421 million dollars, of which corresponded to the 2815 third quarter when they continued with their multimillion dollar endorsements to recoup their investments related to bad mortgage debt.