Citigroup Readies Layoffs, Round Two

Big losses mean big job cuts
By Sam Gale Rosen,  Newser Staff
Posted Nov 26, 2007 11:01 AM CST
People pass the Citigroup Center in this March 26, 2007 file photo in New York. (AP Photo/Mark Lennihan, File)   (Associated Press)
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(Newser) – Citigroup is planning "massive" new layoffs, CNBC reports, less than a year after the financial giant cut 17,000 jobs. After announcing that it may have to write down as much as  $11 billion more in mortgage losses, Citigroup has been looking for ways to cut costs, as well as searching for a new CEO and considering a breakup. Company sources say the number of layoffs could reach as high as 45,000.

In April, Citigroup cut 5% percent of of its workforce, but the layoffs had little effect on share price, CNBC reports, which means that the cuts this time around may be significantly larger. Some layoffs have already begun, with managers reporting that they've been told to cut entire departments.