Citi China Cuts 3,500 Jobs as Global Tech Hub Accelerates "De-outsourcing"

TradingKey - On June 5, 2025, Citigroup (C.US)  announced a large-scale adjustment to its technology team in China, planning to cut approximately 3,500 technical personnel.

The layoffs will affect the technology teams at Citi's Global Technology Solutions (GTS) centers located in Shanghai and Dalian. However, Citibank (China) Co., Ltd. and the Global Technology Center in Guangzhou will not be impacted.

Citi plans to complete the workforce adjustments in the China region by the fourth quarter of 2025 and will subsequently reduce office space in both Shanghai and Dalian.

This adjustment is part of its global restructuring plan for technology and business support, aimed at driving a “streamlined operations” strategy, with related costs already incorporated into the financial planning for 2025.

Previously, Citi had undertaken similar downsizing efforts in several locations across the United States, as well as in Indonesia, the Philippines, and Poland due to employee reductions leading to office space cuts.

This layoff is part of Citi's global transformation initiatives. Following a penalty imposed in 2024 for data governance issues, Citi aims to reduce its reliance on outsourcing. In March 2025, Citi announced it would cut 30% of its global technology workforce; layoffs in China represent a phased implementation of this plan.

Citi stated that “this is a difficult but necessary decision," emphasizing that it will handle subsequent matters with care and respect while providing necessary support and assistance to affected personnel during the transition period.

Despite these layoffs, Citi reaffirmed its commitment to continue serving corporate clients in China and seeks to establish a wholly-owned securities and futures company there.