CITIGROUP is ending workplace representation goals and removing requirements to interview job candidates from diverse backgrounds, citing pressure from the Trump administration.
The bank will no longer have “aspirational representation goals” except as required by local law, and abandon a policy for diversity in candidates and interview panels, according to a memo to staff from chief executive officer Jane Fraser seen by Bloomberg News.
It will also rename its “Diversity, Equity and Inclusion (DEI) and Talent Management” team to “Talent Management and Engagement”, she said.
“The recent changes in US federal government policy, including new requirements that apply to all federal contractors, call for changes to some of the global strategies and programmes we have used to attract and support colleagues from various backgrounds,” she said.
The bank facilitates much of the US government’s payment network domestically and internationally, making it a major federal contractor and vulnerable to the administration’s scrutiny.
In 2022, Fraser set out to lift the percentage of Black employees in roles from assistant vice-president to managing director to 11.5 per cent in the US, Puerto Rico and Canada by 2025. Globally, Citigroup aimed to increase the share of women in those roles to 43.5 per cent, up from 40.6 per cent at the end of 2021.
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Less than a year ago, the bank boasted of its dedication to the same targets it just cancelled. “Citi’s 2025 aspirational representation goals are embedded in its business strategy,” it said in a filing.
“Having aspirational goals across all levels – from early career through senior leadership roles – will help ensure Citi not only has diverse talent in leadership roles but will also help build a diverse talent pipeline for the future.”
Citigroup’s policy shift follows a slew of US companies that have cut back on diversity initiatives in the wake of political and legal pressures.
Consulting firms Accenture, Booz Allen Hamilton Holding and Deloitte have also abandoned their diversity goals citing Donald Trump’s executive order banning diversity efforts at federal contractors.
Many large businesses started re-examining their diversity programmes after the Supreme Court threw out affirmative action in university admissions in June 2023.
“While our colleagues are well-skilled at adapting, we know that there are times when changing can be difficult,” Fraser said on Thursday (Feb 20). “But what makes us Citi is not changing.” BLOOMBERG
