Coca-Cola to lay off 2,200 workers in restructuring

Coca-Cola to lay off 2,200 workers in restructuring

Coca-Cola will be cutting 2,200 workers worldwide as a part of restructuring plans that the company had announced previously. 

During an earnings discussion in October, James Quincey, the CEO and Chairman of Coke had said that the company has been challenging the traditional ways of working and the coronavirus pandemic had helped realize that they can be bolder in its efforts.

A Coke spokesperson informed FOX Business that these job cuts would be carried out in combination with involuntary layoffs and voluntary buyouts. 

The company’s restructuring will affect around 1,200 job roles in the US, with neatly 500 cuts from Atlanta. The decision will cost anything between $350mn and $550mn.

The spokesperson neither specified the number of workers that would be affected in independent operating units nor disclosed how many workers have accepted Coke’s voluntary separation program. Previously, in the month of August, the beverage company offered voluntary separation package to around 4000 workers in Canada and the US.

The decision comes post Coke announced in October that it will reduce its brands by around 200. The company shed light on several slow-selling firms this year, including Zico coconut water, Odwalla juices, Diet Coke Fiesty Cherry and Tab.

The firm said that it will be using the savings for investing in the growing brands such as Simply juices and Minute Maid and fund launch of upcoming products like Coca-Cola Energy, Aha sparkling water and Topo Chico Hard Seltzer.