Citigroup has opened its new hub for junior investment bankers in the beachside Spanish city of Málaga, insisting the move is more than a gimmick as Wall Street lenders battle for young talent amid criticism of burnout in banking.
The US bank selected 27 analysts from more than 3,000 applicants for the two-year programme, which started on Wednesday. Promising eight-hour days and work-free weekends, it aims to distinguish itself from the punishing seven-day working weeks common for young staff in London and New York
By locating it in Málaga — a sunny, culture and food-orientated city on Spain’s southern coast that is far from the world’s biggest financial hubs — Citi is also seeking to offer a more alluring lifestyle and open a different path into banking for those less keen to return to a city-centre office in Canary Wharf or Manhattan after the pandemic.
However, some rivals have dismissed the idea as a stunt that could ultimately hamper the careers of those who decide to spend their initial years working just a quarter of the hours and earning about half the starting salary of their peers in Citi’s main offices.
“This is not a gimmick, it is a reality, the incredible reaction internally and from our competition has confirmed that the project is off to a good start,” said Manolo Falcó, global co-head of investment banking. “We suffer from a lot of churn like the rest of the industry, we lose talent to private equity and tech, so we are eager to understand if we can stop that” by offering a better work-life balance.
“We don’t agree there will be any stigma at all. Citi has a presence in 95 countries with many different businesses and there are no second-class citizens,” he added. “We want to open other ways to attract the best talent and the quality of the CVs shows there is a trend from this generation that they want more free time.”
The debate over junior burnout was reignited last year when exhausted Goldman Sachs analysts circulated a slide deck detailing brutal hours and allegations of workplace abuse, exacerbated by the isolation of homeworking during the Covid-19 pandemic. Similar complaints have echoed from the legal and consultancy sectors.
Banks responded by bumping first-year salaries to $100,000 or more — with big bonuses on top — as well as offering perks such as free Peloton exercise bikes. However, few pledged to reduce working hours.
This year the dealmaking surge driven by booming stock markets and the era of cheap money has faded, as inflation soars and recession fears deepen. Banks including Goldman Sachs are already planning job cuts as activity dwindles.
“Revenues in the industry are significantly down and that will obviously have an effect,” said Falcó. “I am not surprised that some are starting to send those messages. We are monitoring the situation so far, but we have hired more juniors than ever and remain committed to offering them a long-term career.”
The 27 banking, capital markets and advisory analysts in Málaga — most of them under 25, with one 32-year-old — only represent a small proportion of Citi’s graduate workforce. The banking, capital markets and advisory division recruited 160 in the Europe, Middle East and Africa region this year and about double that number in New York.
“In other crises the industry made the mistake of reducing graduate intake dramatically, so when markets rebounded we didn’t have enough people and were missing entire generations,” said María Díaz del Río, chief of staff for the unit in Malaga.
“Sometimes banks burn out our analysts, so we want to prove they can work limited hours and still add value,” she added. “When they are working on M&A deals, maybe we will ask them to work longer, but will compensate them with more holidays. They will be the fresh ones on live transactions, they will have more time to think and be creative.”
After two years, those who have performed well will have the opportunity to apply for jobs in New York, London or elsewhere.
“There is obviously a question about how many will choose to go into a full-time, mainstream investment banking career,” Falco said. “If you want to go all the way, you have to move from Málaga eventually.”
Citi opens Málaga hub for junior bankers as talent battle heats up & Latest News Update
I have tried to give all kinds of news to all of you latest news today 2022 through this website and you are going to like all this news very much because all the news we always give in this news is always there. It is on trending topic and whatever the latest news was
it was always our effort to reach you that you keep getting the Electricity News, Degree News, Donate News, Bitcoin News, Trading News, Real Estate News, Gaming News, Trending News, Digital Marketing, Telecom News, Beauty News, Banking News, Travel News, Health News, Cryptocurrency News, Claim News latest news and you always keep getting the information of news through us for free and also tell you people. Give that whatever information related to other types of news will be
Citi opens Málaga hub for junior bankers as talent battle heats up & More Live News
All this news that I have made and shared for you people, you will like it very much and in it we keep bringing topics for you people like every time so that you keep getting news information like trending topics and you It is our goal to be able to get
all kinds of news without going through us so that we can reach you the latest and best news for free so that you can move ahead further by getting the information of that news together with you. Later on, we will continue
to give information about more today world news update types of latest news through posts on our website so that you always keep moving forward in that news and whatever kind of information will be there, it will definitely be conveyed to you people.
Citi opens Málaga hub for junior bankers as talent battle heats up & More News Today
All this news that I have brought up to you or will be the most different and best news that you people are not going to get anywhere, along with the information Trending News, Breaking News, Health News, Science News, Sports News, Entertainment News, Technology News, Business News, World News of this made available to all of you so that you are always connected with the news, stay ahead in the matter and keep getting today news all types of news for free till today so that you can get the news by getting it. Always take two steps forward
News – Times . This Is Not My Content So If You Want To Read Original Content You Can Follow Below Links