The kinetic structure of the reconnection layer in the magnetotail is investigated by two‐dimensional hybrid simulations. As a proxy, the solution of the Riemann problem of the collapse of a current sheet with a normal magnetic field component is considered for two cases of the plasma beta (particle to magnetic field pressure): β = 0.02 and β = 0.002. The collapse results in an expanding layer of compressed and heated plasma, which is accelerated up to the Alfvén speed vA. The boundary layer separating this hot reconnection like layer from the cold lobe plasma is characterized by a beam of back‐streaming ions with a field‐aligned bulk speed of ≃ 2vA relative to the cold lobe ion population at rest. As a consequence, obliquely propagating waves are excited via the electromagnetic ion/ion cyclotron instability, which led to perpendicular heating of the ions in the boundary layer as well as further outside the layer in the lobe. In both regions, waves are found which propagate almost parallel to the magnetic field and which are identified as Alfvén ion cyclotron (AIC) waves. These waves are excited by the temperature anisotropy instability. The temperature anisotropy increases with decreasing plasma beta. Thus the anisotropy threshold of the instability is exceeded even in the case of a rather small beta value. The AIC waves, when convected downstream of what can be defined as the the slow shock, make an important contribution to the ion thermalization process. More detailed information on the dissipation process in the slow shocks is gained by analyzing individual ion trajectories.