COVID-19 is a generational disaster in myriad ways, but if you're an intern at an investment bank this summer it could have some significant advantages.
In a memo sent today to this summer's incoming interns, Citi has promised that interns attending its 'abbreviated program' will receive full-time offers from Citi upon graduation as long as they meet 'minimum requirements.'
The minimum requirements are fairly minimal: they simply stipulate that Citi's interns engage with the particular aspects of the program. It will therefore be considerably easier to 'convert' this year's Citi internships into full time job offers than during a normal year. In a typical year, it's usual for interns at all banks to compete for openings available, and to rotate between desks - some of which may not even be hiring. In some cases and at some banks (not Citi specifically), only 50% of interns receive job offers.
Where Citi leads, other banks may follow. Citi was one of the first banks to inform incoming interns that it would shorten this year's internships by a month, something which Goldman Sachs subsequently did too. The likelihood is that all banks will move to virtual internships as a result of COVID-19, although Citi has yet to commit to this clearly. Credit Suisse, for example, has converted this year's EMEA spring internship into a virtual programme.
Alongside a greater likelihood of changing an internship into a full time job, this summer's banking internship format also means interns are being paid to do nothing. Earlier this week, Goldman Sachs said it would pay interns for the full internship even though the length was being halved. Citi confirmed today that it will pay interns for a standard ten week internship, despite the internship being shortened to six weeks as result of the virus.
Manolo Falco, co-head of Citi’s banking, capital markets and advisory division said: “With such uncertainty for our young people at this time, I’m delighted we can continue with our internship programme. It’s an extra special class this year as it’s our most diverse ever. For the first time, 50% of our global class are women”
Citi's full email is as follows:
Email subject: Citi Summer Internship Update
Welcoming our new class of summer interns is something we look forward to every year, and despite the uncertain times we find ourselves in now, this year is no exception. We are so excited to have all of join us and value the contributions you will bring to the firm.
We know that it is an especially trying time for you right now, as you work to finish the semester away from school, removed from your friends and on-campus experiences, and think about the economy and job market you’ll find yourself in after graduation. With that in mind, we have made some adjustments to the internship program to remove as much uncertainty as possible for you:
· We are delaying our start date to July 6.
· Despite the delayed start date, compensation is not impacted and you will receive 10 weeks of pay.
· We are carefully considering how we will structure the program to ensure that you have the most meaningful experience with us as possible. Given the environment, we are considering virtual program delivery and we will share more about our plans in the coming weeks. Please continue to focus on your well-being and studies and know that we are working to create the best program possible.
· As a summer intern in our New York, London, Hong Kong, Singapore, or Tokyo program, you will receive a full-time offer from Citi upon graduation as long as you meet the minimum requirements of the abbreviated program.
Above all, your safety and well-being remain our highest priority. Updates on steps that Citi is taking to address the COVID-19 pandemic are outlined at Citigroup.com.
We realize your college experience is going to be quite different than what you planned or imagined. While there are many uncertainties ahead for all of us, we hope that these changes give you a measure of reassurance about your role at Citi and our commitment to you. We are excited to have you join us and will share more details about the program in the coming weeks. In the interim, please do not hesitate to be in touch with any questions.
Stay healthy and safe,
Head, Global Campus Talent Acquisition
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