PepsiCo Slashes Jobs

PepsiCo may be slashing thousands of corporate jobs in North America.  The layoffs will affect employees of its food and beverage businesses in Chicago; Plano, Texas, and Purchase, New York, the Journal reported, citing people familiar with the matter and a company memo. PepsiCo’s portfolio includes Gatorade drinks, Frito-Lay snacks, and Quaker Oats foods.

The company’s beverage unit is expected to be hit harder by the cuts because the snacks unit already shrank its workforce through a voluntary retirement program, according to the Journal.

The company did not immediately respond to a request for comment from CNBC.

Pepsi employed 309,000 people worldwide as of Dec. 25, with more than 40% of those jobs located in the U.S., according to a company regulatory filing.

In October, PepsiCo hiked its full-year revenue forecast after higher prices boosted its sales. However, some of its business units, including Frito-Lay North America, reported shrinking volume, a sign that consumers were cutting back their snacking to better manage their budgets.

Source: CNBC