The Hungarian unit of troubled Italian dairy giant Parmalat is to reduce its workforce by around 30% at the beginning of June.

The number of employees at Parmalat Hungary will be reduced by 129 to 299. The business will finance the job cuts through a bank loan, according to the Hungarian News Digest.

Since a massive accounting scandal was uncovered at its Italian parent late last year, Parmalat Hungary has announced that its CEO Cristiano Villani has left the company and is to be replaced by Laszlo Fonay.