Citigroup has increased the total compensation of its CEO Jane Fraser to $42 million for 2025, marking a significant rise from the previous year.
The bank’s board approved the higher pay after a strong year for the company’s stock and financial performance. Citi’s share price surged sharply over the past year, outperforming several other major Wall Street banks. The board said the increase reflects confidence in Fraser’s leadership and her efforts to strengthen the bank’s long-term position.
Fraser’s compensation package includes a base salary, cash incentives, and a large portion in stock awards tied to performance. Much of the payout depends on how well the bank continues to perform in the coming years.
However, the pay hike comes at a time when the bank is undergoing major restructuring. Citi has been cutting jobs as part of a broad turnaround strategy aimed at simplifying operations and reducing costs. The company has already reduced its workforce and is expected to eliminate thousands more roles as part of its multi-year transformation plan.
Fraser has been leading efforts to streamline the bank’s global operations, exit non-core businesses, and focus on key markets. The restructuring is designed to make Citi more competitive and improve profitability after years of lagging behind some of its peers.
The contrast between executive compensation and job cuts has drawn attention, but the board maintains that the pay package is performance-based and aligned with shareholder returns.
Citi says the restructuring will ultimately create a stronger and more efficient bank, positioning it for sustained growth in the future.