SSB, Citicorp escape the axe
Salomon Smith Barney and Citicorp operations in Australia will emerge unscathed from the planned culling of 3500 jobs internationally from the Citigroup over the next year.
Citigroup Asia region spokesperson Richard Tesvich says there are no plans to cut jobs in the Asian region.
Citigroup, which boasts an international workforce of more than a 250,000, says it will be culling most of the 3500 jobs in the US - about 2100.
The group is believed to be reacting to the deep slump in the investment markets, but there has also been speculation that the job cuts relate to the amalgamation process of recent mergers.
In 1998, Citicorp merged with Travelers, which brought with it Salomon Smith Barney, to form the Citigroup umbrella organisation. In Australia, Citigroup is represented by Citibank, Citicorp Life, Salomon Smith Barney, Citigroup Asset Management and Diners Club.
The job cuts will be under the directive of Citigroup chief executive Sandy Weill, who according to analysts, is well known for cost-cutting.
The latest announcement of job cuts follows a spate of similar cuts from early this year from other quarters in financial services. In March, Charles Schwab announced it would be cutting its workforce by 3400, then in April both TD Waterhouse and Morgan Stanley each announced they would cut their staff by 1500.
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