Citigroup will cut around 3,500 tech jobs in China this year. The move is part of a global restructuring plan aimed at reducing complexity and improving risk and data systems across its operations.
The layoffs will impact staff at two of its China tech hubs—Shanghai and Dalian. According to the bank, the downsizing will be done by early Q4 this year. Most of these are full-time roles, with some responsibilities shifting to other Citi tech centers globally.
Why It Matters: Behind the Numbers
This isn’t just a headline—it’s 3,500 lives. Most of them likely young professionals in China’s booming tech sector, now facing a shrinking job pool in a tightening economy. While some jobs will be moved abroad, many won’t be replaced at all.
Citigroup is not alone here. This is part of a much broader trend—banks cutting back not just in China, but also in places like the U.S., Indonesia, the Philippines, and Poland. It’s a global wave, and workers are caught in the middle.
Citi’s Plan: Less Outsourcing, More Control
Earlier this year, Citi announced big changes to its IT strategy. It planned to reduce its dependence on contractors after regulators flagged issues with its data governance. The shift: fewer outsourced tech roles, more direct hires in key markets. Sounds like control—until it means cutting thousands.
A Reuters report last month already hinted at the chop: 200 IT contractor jobs were being slashed. Now we’re seeing the full picture unfold.
Still Betting on China—Sort Of
Despite the cuts, Citi says it’s not backing out of China. In fact, it’s doubling down on its investment banking footprint. The bank is working on setting up a fully-owned securities and futures business there. Translation: Less back-office, more high-stakes deal-making.
Marc Luet, who oversees Asia North and Australia at Citi, said the bank remains “committed to supporting corporate and institutional clients in China.” Which, frankly, means if you’re a big business with cross-border cash to move—Citi still wants you.
A Shared Irony
Banks want digital transformation but won’t keep the tech teams that build it. It’s like firing your plumber because you found a cheaper bucket.
Still, this isn’t about China alone. It’s about Citi’s global pivot. And in the corporate world, “streamlining” almost always cuts through people first.
Also Read Dr Reddy’s Lab Shares Up 4% on Global Biosimilar Deal with Alvotech for Keytruda
