Unilever to Cut 1,500 Jobs in Structure Reorganization -- Update
By Michael Susin
Unilever PLC said Tuesday that it will cut around 1,500
management jobs and simplify the business into five distinct groups
as part of a plan to boost growth.
The London-listed consumer-goods company--which houses the Ben
& Jerry's and Marmite brands as well as Cif and Domestos among
its portfolio--said each group will be fully responsible for its
strategy, growth and profit, while a corporate center will set the
The businesses will be divided into Beauty & Wellbeing,
Personal Care, Home Care, Nutrition, and Ice Cream, it said.
Unilever said the new model will reduce senior management roles
by around 15% and junior management roles by 5%.
The changes aren't expected to affect factory teams.
"Moving to five category-focused business groups will enable us
to be more responsive to consumer and channel trends, with
crystal-clear accountability for delivery. Growth remains our top
priority and these changes will underpin our pursuit of this,"
Chief Executive Alan Jope said.
Late Monday, The Wall Street Journal reported that the company
was planning to cut thousands of jobs as part of a reorganization
aimed at speeding up its decision making, citing a person familiar
with the matter.
The Journal and others reported over the weekend that Nelson
Peltz's Trian Fund Management LP had acquired a stake in Unilever,
just days after the company abandoned its $68 billion bid for
GlaxoSmithKline PLC's consumer-healthcare business, after being
rebuffed on the price.
Under the new structure, Fernando Fernandez has been appointed
as president of beauty & wellbeing; Fabian Garcia as president
of personal care; Peter ter Kulve will continue to lead home care;
Hanneke Faber will be the head of nutrition; and Matt Close will
head ice cream. The appointments are effective starting April
The company has been under pressure to accelerate growth. In
November, it failed to sell a string of beauty and personal-care
brands after it didn't attract a high enough bid.
Shares at 1002 GMT were down 8.5 pence, or 0.2%, at 3,935.0
Write to Michael Susin at email@example.com
(END) Dow Jones Newswires
January 25, 2022 05:20 ET (10:20 GMT)
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