Citigroup Seen Cutting Work Force by 5%-10%

[marmar]

from CNBC, via Yahoo!:



CNBC
Citigroup Seen Cutting Work Force by 5%-10%
Monday January 7, 8:26 am ET


Citigroup's new Chief Executive Vikrum Pandit continues to work on a restructuring program, the details of which will likely be announced next week, according to people familar with the plan.


The restructuring will likely reduce Citi's (NYSE:C - News) work force of 327,000 people by between 5 percent and 10 percent, these people say.

The formation of the restructuring plan appears to be taking longer than expected due to the extent of the problems at Citigroup.

Citigroup is one of the biggest victims of the credit crunch caused by the subprime-mortgage crisis.

Separately, Merrill Lynch (NYSE:MER - News) began handing out bonuses last week, which are sharply lower than they were last year.

Some people have said the bonuses may be between 60 percent and 80 percent lower than they were last year in certain divisions.

http://biz.yahoo.com/cnbc/080107/22536356.html

[bigtree]

1. this is just the tip of the coming round of devastating layoffs

airlines and other transportation industries, auto manufacturing, housing construction . . . interesting that this credit company leads the news here