RBC unit City National Bank cuts nearly 100 jobs after financial losses
Reuters
Published Feb 14, 2024 07:39PM ET
(Reuters) - City National Bank, the American unit of Royal Bank of Canada, has cut around 100 jobs after recent financial losses, management changes and a regulatory fine of $65 million.
"We regularly review our staffing plans and models to ensure they align with our strategic priorities and allow us to best serve our clients and communities," a spokesperson for City National said in a statement.
The job cuts came on the heels of several layoffs announcements by U.S. banking giants including Wells Fargo, Bank of America, and Citigroup as dealmaking dried up and demand from borrowers softened last year.
The Office of the Comptroller of the Currency (OCC) had imposed a fine on City National last month, citing the lender had engaged in unsafe or unsound practices, including failure to establish effective risk management and internal controls.
The OCC had issued a cease-and-desist order requiring the bank to take broad and comprehensive corrective actions to improve its strategic plan.
Last November, City National Bank appointed Howard Hammond as its new chief executive officer and Chris Doll as the chief financial officer.
RBC had injected about $2.95 billion into the U.S. unit in October to bolster its capital, as a part of management actions to improve profitability at City National.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.