Nestlé to Cut 16,000 Jobs in Global Restructuring Plan

Nestlé to Cut 16,000 Jobs in Global Restructuring Plan
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Nestlé has announced plans to cut 16,000 jobs over the next two years as part of a global effort to reduce costs and boost sales, The Guardian reported. The Swiss multinational said the reductions will affect 12,000 white-collar employees and 4,000 in manufacturing and supply chain roles, representing nearly 6% of its workforce.

The move comes under new CEO Philipp Navratil, who replaced Laurent Freixe last month following a company scandal, and is intended to accelerate a cost-saving program targeting 3 billion Swiss francs by 2027, up from an earlier goal of 2.5 billion. Navratil emphasized the need for efficiency and investment in growth, innovation, and automation.

Nestlé reported a 1.9% year-on-year decline in sales to 65.9 billion francs in the first nine months, largely due to negative foreign exchange effects, while organic sales rose 3.3%. Price increases, particularly in coffee and confectionery, contributed to sales growth. All regions achieved organic growth, with emerging markets up 5.2% and developed markets 2.1%.