Business · Companies · 9 hrs ago
PepsiCo to cut about 1,000 jobs in North America
PepsiCo plans to cut about 1,000 jobs across North America as part of a business reorganization.
The changes are due to begin over the next week, according to the company’s North American chief, Ram Krishnan.
PepsiCo says it wants to simplify its structure, clarify responsibilities and help teams work together more effectively.
The cuts come as sales in PepsiCo’s home market are struggling: beverage volumes fell 2% in the third quarter, while food volumes were flat.
The company has also faced pressure from shoppers watching their spending and from losing the US KFC drinks contract to Coca-Cola.
The changes are intended to help PepsiCo turn around its North American business, but the company has said its efforts to boost sales are taking longer than expected.
PepsiCo plans to cut about 1,000 jobs across North America as it reorganizes its business.
The company says the changes are intended to streamline operations and connect teams more effectively.
Some employees are expected to be affected as soon as next week.
The cuts come as PepsiCo faces weak sales and other challenges in its North American market.
- Who
- PepsiCo.
- What
- It plans to cut about 1,000 jobs in North America as part of a business reorganization.
- When
- Some changes are expected to take effect next week.
- Where
- North America.
- Why
- PepsiCo says it wants to streamline operations and better connect teams amid struggles in its home market.
This story does not have two clearly opposing sides.
PepsiCo cut its full-year earnings outlook, citing struggles in its home market.
It became known that KFC in the United States would replace Pepsi drinks with Coca-Cola products.
PepsiCo plans to begin cutting jobs, with some business units affected by the changes.
KFC is set to begin switching to Coca-Cola products, with the transition expected to finish by spring.
- Planned job cuts
- About 1,000
- Affected region
- North America
- Global workforce
- About 306,000 employees
- U.S. workforce
- Roughly 125,000 employees as of Dec. 27
- North American beverage volume
- Down 2% in the third quarter
2 sources
What people are saying
We have a clear ambition for PepsiCo North America: to build a stronger, more future-fit business that delivers industry-leading growth
To do that, we need to be faster, more connected, and more capable, while continuing to invest in growth — behind our people, capabilities and brands.