RBS CEO Stephen Hester

RBS CEO Stephen Hester

Simon Dawson/Bloomberg

Stephen Hester, chief executive officer of the Royal Bank of Scotland Group Plc (RBS), is resigning after shrinking the balance sheet by about 900 billion pounds ($1.4 trillion) and cutting more than 36,000 jobs since he took over from Fred Goodwin amid the bank’s bailout in 2008 and 2009.