Banking, credit union, fintech industry layoffs: 2024

January 25, 2024 9:49 AM

As companies downsize and restructure, American Banker is tracking these decisions to help our readers understand how their industries are adapting.

Click here to see last year's banking, credit union and fintech industry layoffs.

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Texas Capital Bancshares

Texas Capital Bancshares has recently laid off some of its workforce and restructured its balance sheet as part of a push to meet profitability targets it set for itself three years ago.

The Dallas company, which has been in transformation mode since the fall of 2021, also plans to acquire a $400 million loan portfolio in the health care sector. The company did not disclose a purchase price, but it said the seller is a large regional bank.

Read more: Texas Capital cuts workforce, sells securities in push to meet 2025 goals

Mastercard

The staff reductions come as both Mastercard and Visa focus on growing revenue from sources beyond payment fees particularly in mature markets. That includes focusing on emerging markets with a cash-reliant population and selling technology, artificial intelligence and consulting services to a large international network of financial institutions, partner fintechs and merchants.

Read more: What Mastercard's layoffs reveal about the fate of payment revenue

First Guaranty Bank - Hammond, Louisiana - 71 employees impacted

First Guaranty Bancshares

First Guaranty Bancshares in Louisiana has trimmed its workforce by 15% as part of a business strategy revamp that involves cutting costs, slowing down growth and using more automation.

Read more: First Guaranty lays off 15% of workforce, cuts dividend in half

Barclays

Barclays is preparing to cut several hundred jobs within its investment bank division as the firm embarks on a yearslong effort to trim costs and boost profits within the unit, according to people familiar with the matter.

Read more:

Barclays readies hundreds of job cuts in investment bank

Citigroup

Citigroup is weighing a move to cut 51 roles across its wealth business in London as the division's new chief looks for ways to boost the returns generated by the unit. The cuts would affect about 10% of the unit's 485 staffers in the U.K.

Read more: Citigroup weighs cutting 10% of wealth employees in London

Virgin Money

Virgin Money has cut about 150 jobs and 39 branches thus far in 2024 and plans further reductions in staff and facilities.

Read more: Virgin Money downsizes, ACI builds payment rails in Nepal

DocuSign

DocuSign, the San Francisco-based electronic signature company, is laying off roughly 6% of its workforce — its third round in the last two years.

Read more: DocuSign lays off 6% of staff; third wave in last two years

Regions Financial

Regions Financial has cut staff across divisions, including its mortgage line, as higher interest rates have squeezed the home loan business across the finance sector.

Read more: Regions Bank cuts 'less than 3%' of staff

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Deutsche Bank

Deutsche Bank plans to cut 3,500 jobs over the coming years as Chief Executive Officer Christian Sewing seeks to make good on a pledge to lift profitability and return more money to shareholders.

Read more: Deutsche Bank plans to cut 3,500 jobs and lift payouts

PayPal

PayPal will reduce its workforce by about 9% as Chief Executive Officer Alex Chriss, who took over in September, grapples with rising competition, profit pressures and a raft of analyst downgrades.

Read more: PayPal to cut around 2,500 jobs as rivals snag market share

Block

Block began cutting jobs as part of the firm's goal to cap its workforce at 12,000 employees. The company declined to give specific details on how many jobs were affected.

Read more: Jack Dorsey's Block cuts jobs to achieve cap of 12,000 staffers

Nasdaq

Nasdaq is planning to cut hundreds of jobs as it integrates software provider Adenza into its business — an acquisition it closed last year amid efforts to propel a new phase of expansion at the firm.

Read more: Nasdaq plans hundreds of job cuts

Lloyds Banking Group

Lloyds Banking Group is cutting around 1,600 roles across its branches, part of a push by the lender to provide more services online. The lender is also planning to add 830 positions to its Relationship Growth team, meaning a net reduction of about 769 roles, according to a spokesperson.

Read more: Lloyds to cut 1,600 branch positions in online services push

Brex

Brex terminated 282 people, or about 20% of its staff, according to a memo from Pedro Franceshi, the company's co-founder and CEO. Brex earlier laid off 136 people, or about 11% of its staff, in October 2022.

Read more: Brex cuts jobs as its customers endure economic pressure

Citigroup

Citigroup, whose operations have been far-flung for years, is engaged in a massive, multiyear restructuring that involves selling or winding down lagging businesses and eliminating 20,000 jobs, or about 10% of its total workforce, by the end of 2026.

Read more: CEO Fraser calls 2024 a 'turning point' year for Citi

Citizens

Citizens eliminated 650 positions through a combination of layoffs and attrition. The reduction in head count — combined with lingering integration-related costs, a special Federal Deposit Insurance Corp. fee and other expenses tied to certain efficiency initiatives — led net income to tumble to $189 million for the fourth quarter.

Read more: Citizens Bank reduced its workforce by 3.5% in the fourth quarter

Comerica

Comerica's layoffs eliminated 3% of its workforce in the fourth quarter of 2023, alongside the closure of 26 branches.