Coca-Cola Plans to Cut 1200 Jobs Globally by 2018

Responding to a dim growth outlook, the Coca-Cola Company plans to cut about 1,200 positions starting in the second half of 2017 through 2018 to reduce costs, numerous news organizations reported Tuesday.

The soft drink and food manufacturing firm said the move will result in about $800 million in savings annually, with financial results materializing in 2018 and 2019.

“Coke’s move to cut jobs comes as many major food and beverage manufacturers – a group collectively known as ‘Big Food’ – have cut thousands of jobs in a bid to trim costs and restructure their operations,” a Fortune article observed. “Others that have cut jobs have included Hershey, General Mills, and Kellogg. All have been under pressure to cut costs to boost cash flows because of the aggressiveness at 3G-backed Kraft Heinz, which has put some pressure on others in the industry to step up their game.”

Coca-Cola’s job cuts will impact its workers globally, Food Processing reported.

“While these necessary changes are always very difficult, they will help us do fewer things better to lead and support our operating units,” Coca-Cola’s incoming chief executive officer, James Quincey, said on the matter.