Citi Cuts Management Layers from 13 to 8 as Part of CEO Jane Fraser’s Five-Year Overhaul

Jane Fraser, CEO of Citi, restructured the bank into five divisions that report directly to her and reduced management layers from 13 to eight. Fortune reported that the changes are part of a five-year plan to remake the bank. Fraser said the cuts would create a simpler firm that can operate faster, better serve clients and unlock value for shareholders.

Mike Mayo, a long-time analyst at Wells Fargo Securities, said the restructuring is likely to be viewed in ten years as the most powerful change made at Citi and that after the overhaul there is nowhere to hide. In April, Citi logged its highest quarterly revenue in a decade, with all five divisions recording gains. 1% in the first quarter of 2026, the highest level since 2021.

Citi stock has risen about 80% since Fraser took over as CEO. The results earned Fraser the top spot on Fortune’s Most Powerful Women list. 1 in 2025, according to a January Gallup report, representing a nearly 50% increase since Gallup first measured the figure in 2013.

Meta is employing a 50-to-1 employee-to-manager ratio in its new applied AI engineering team. Coinbase CEO Brian Armstrong said he was laying off 14% of the company’s workforce and increasing employee-to-manager ratios to as many as 15 to one. Clifford Oswick, professor of organization theory at Bayes Business School, said de-layering works when it serves purposeful ends that people can buy into and that improve performance long term.

André Spicer, executive dean of Bayes Business School, previously told Fortune that flatter structures are popular when the economy is relatively good. Oswick noted that the structure is one of the least important parts of an organization and that success depends on relationships and culture aligned to the mission.