Sector News

Arla to cut 140 jobs as part of 400m euro cost-saving plan

November 2, 2018
Food & Drink

Arla Foods has announced that it will make 140 roles redundant as part of its ‘Calcium’ cost-saving programme, which aims to deliver €400 million in savings by the end of by the end of 2020.

Earlier this year, the company announced that it would close several UK sites and cut 195 corporate roles across its finance, legal & IT, corporate strategy, member relations, HR and corporate affairs departments as part of the programme, which aims to ‘improve efficiency in all areas of the company.’

The new redundancies will take place across the company’s Marketing, Supply Chain Finance, International and HR units, predominantly at the company’s head office in Aarhus, Denmark, with a smaller number of positions at the company’s administrative offices elsewhere in Europe and North America.

Arla says that the majority of cuts will take place in Arla’s marketing organisation, as the company aims to “simplify its commercial matrix and empower the frontline by securing a higher speed to market.”

CEO of Arla Foods, Peder Tuborgh said: “The changes we are announcing today will create a simpler and stronger marketing model for our brands, allowing us to faster address local needs both in our European core markets and our newer markets in Asia and Africa.

“It is part of our effort to build close relationships with local customers and governments in addressing some of the bigger challenges around health and sustainability.

“As always when you restructure and have to part ways with skilled colleagues, we have been confronted with some tough decisions. I would like to thank those people who are leaving us for the contribution they have made to Arla Foods.

“We are doing this to create a long-term transformation of our company and to reinstate our international competitiveness when it comes to the milk price we pay to our farmers, and I am pleased to see the level of engagement that Calcium is sparking throughout our organisation.

“It is a big part of the reason why the programme is currently delivering ahead of schedule,”

Source: FoodBev

comments closed

Related News

June 3, 2023

Changing of the guard at consumer goods companies: New finance chiefs for Nestlé and Unilever

Food & Drink

After eight years with Nestlé, François-Xavier Roger, executive vice president and chief financial officer (CFO), has decided to leave the company to pursue new professional challenges, making way for finance boss Anna Manz. Meanwhile, Unilever announced that Graeme Pitkethly, CFO, will retire by the end of May 2024, and the hunt is on for his successor.

June 3, 2023

Bacardi appoints new director to board

Food & Drink

International spirits company Bacardi Limited has announced the appointment of Alicia Enciso to its board of directors. Enciso joins with more than 30 years of experience with multinational Fortune 100 Companies in the food and beverage sector with roles as general manager, president, chief marketing officer and e-business officer.

June 3, 2023

What’s bubbling in beverages? Novel sensations, sugar reduction, botanicals and bold colors drive innovation

Food & Drink

According to Innova Market Insights, when it comes to beverages, consumers are willing to pay more for what they value most, despite rising inflation. Additionally, consumers want brands that respond to their core values and have the benefits they seek, such as sustainability and functional ingredients.

How can we help you?

We're easy to reach