Thursday, September 19, 2024

Unilever: Magnum and Dove maker ‘to cut over 3,000 European jobs’

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Unilever is set to slash a third of office jobs in Europe

Unilever is planning to cut more than 3,000 jobs based at its offices across Europe by the end of 2025, according to reports.

The group, whose brands include the likes of Magnum, Dove and Wall’s, is to reduce its headcount by 3,200, according to the Financial Times.

Unilever currently employs around 10,000 people in offices across Europe.

The news comes after Unilever first announced its ‘productivity programme’ in March in which job cuts were announced.

Earlier this year, the company announced that it would scale back its environmental and social pledges to “drive performance in the company”.

The decision to cut jobs is thought to be influenced by the billionaire activist investor Nelson Peltz, who acquired a stake in the firm two years ago.

Earlier this year, it struggled to find a buyer big enough for its ice cream empire—which includes Magnum, Wall’s, and Ben & Jerry’s—as it sought to offload the business as part of its turnaround plan.

Unilever said the exact location of the job cuts is yet undetermined, but affected employees will be consulted in the next few weeks.

The cuts will apply primarily to office-based roles and will not include jobs based in factories, according to the FT. The company employs around 128,000 people globally.

Schumacher has been vocal this year about the company’s performance.

In a January announcement, he described the brand’s competitiveness as “disappointing” and said “overall performance” needed to improve.

Shares in Unilever fell nine per cent last year as inflation ate into its profit margins and allegations of greenwashing bruised the company’s reputation.

A Unilever spokesperson said, “In March, we announced the launch of a comprehensive productivity programme to drive focus and growth through a leaner and more accountable organisation. We are now, over the next few weeks, starting the consultation process with employees who may be impacted by the proposed changes.

We recognise the significant anxiety that these proposals are causing amongst our people. We are committed to supporting everyone through these changes, as we go through the consultation process.”

Correction: This article previously stated that Unilever had announced it would cut two-thirds of roles globally in March. That figure was incorrect. The company announced in March that job cuts would impact 7,500 predominantly office-based roles globally, not two-thirds of global roles.

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