Citigroup, one of the largest banking institutions, has announced plans to lay off 430 employees in various divisions across New York. The layoffs, according to filings made with the State Department of Labor on Monday, will affect 363 employees from Citibank's primary banking unit, Citibank. Additionally, workers in the technology and broker-dealer arm will also be impacted by the restructuring.

This move comes shortly after the bank completed a significant overhaul, its most extensive in decades, as part of an initiative to simplify its structure and enhance performance. The reorganization, unveiled in September, aimed to reduce management layers from 13 to eight, with the goal of streamlining operations and eliminating bureaucratic processes.

Citigroup has set an ambitious target of reducing its global workforce by 20,000 over the next two years. The layoffs scheduled for June, as indicated in the filings, mark another step in achieving this goal. In January, CEO Jane Fraser stated that the bank had already eliminated 1,500 managerial roles, representing 13% of its worldwide leaders. These changes are projected to generate savings of approximately $1 billion annually.

These restructuring efforts are aimed at boosting Citigroup's profitability and stock performance, which has lagged behind its competitors. Wells Fargo analyst Mike Mayo, who has rated Citigroup's stock as his top pick, has described 2024 as a "multi-decade inflection point" for the bank.

Despite the challenges, Citigroup's stock performance has been relatively strong this year, outperforming rivals such as JPMorgan Chase, Bank of America, and Wells Fargo. As of last week's close, the stock had gained nearly 23%. In comparison, the S&P 500 banks index rose by 14.4%.

Citigroup's ongoing restructuring journey reflects its commitment to adapt and thrive in times of change and uncertainty. The bank aims to create a leaner and more efficient organization while seeking to deliver long-term value to its shareholders.