Coca-Cola Cuts 2,200 Jobs
The beverage company’s layoffs will affect 1,200 in the United States—roughly 12% of its workforce—with 500 jobs eliminated at Coke’s Atlanta headquarters. The job cuts are a mix of voluntary buyouts and job cuts, racking up $350 million to $550 million in severance costs.
CNN Business reported:
The company announced plans to trim its workforce over the summer, when it said that it was offering buyouts to 4,000 workers in the United States, Canada and Puerto Rico.
It also said then that it plans to reduce its number of operating units from 17 businesses in four regions to nine operating units in those areas. Coca-Cola did not share on Thursday which specific units would be affected.
Business Insider reported:
The coronavirus pandemic has hammered Coke’s business, as sales at places like stadiums and movie theaters dried up due to lockdowns. Its revenue fell 9% year-on-year to $8.7 billion between July and September.
Why it’s important: It’s crucial for corporate, internal, executive and employee communicators to consistently share information and updates with the members of their workforce, so that if layoffs and realignments must happen, employees are warned ahead of news headlines and supported as much as possible as they prepare for next steps. Both your employees as well as consumers are watching to see how brands handle communicating tough business decisions, which will affect reputation and brand image.
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