Citi to close Málaga office that promised bankers better work-life balance
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Citigroup is closing its beachside Málaga office less than three years after opening the hub to offer junior investment bankers a better work-life balance.
The US lender has told staff that it will close the unit in the southern Spanish city, cutting a handful of jobs and relocating other employees to London and Paris, the bank confirmed in a statement to the Financial Times.
Citi opened the office in 2022 at the height of a post-pandemic battle for talent in the financial services industry, and at a time when banks were facing criticism for failing to prevent staff burnout.
The Wall Street bank had hoped to set itself apart from its competitors by offering junior staff eight-hour days and work-free weekends on the Costa del Sol — a far cry from the punishing seven-day working weeks typically demanded of young investment bankers in New York and London.
However, Citi said on Wednesday that it was closing the office as part of its strategy to “simplify the firm and make improvements to how we operate”.
“Unfortunately, this decision means that six of our colleagues in Málaga will be leaving the firm, and we will provide support to them during this process,” it added. The bank said that “many colleagues” in the Málaga office would relocate to roles in London and Paris.
Investment banks have been hit by a prolonged dealmaking drought, and lenders are starting to row back on perks and tighten pandemic-era working policies. Banks such as JPMorgan Chase and Barclays in recent months have demanded more regular office attendance.
Citi has been seen as an outlier in the industry, with chief executive Jane Fraser pledging earlier this year to maintain its hybrid working policy of allowing most employees to work from home two days a week. However, the lender started to track security pass swipes in late 2023 to ensure staff were meeting office attendance requirements.
When the US bank launched its Málaga initiative in 2022, it selected 27 analysts from more than 3,000 applicants.
At the time, Manolo Falcó, Citi’s global co-head of investment banking, said the initiative was “not a gimmick” and there would be no “stigma” attached to it despite the reduced demands.
He added that the bank had received an “incredible reaction internally” to the move and was eager to see if it could prevent graduates choosing careers in private equity and tech by offering a better work-life balance at the bank.
