PepsiCo is reportedly looking to cut dozens of jobs in Belgium.
The food-and-beverage group is planning to initiate a so-called Renault procedure to lay off staff, according to the L’Avenir newspaper, which said the axe would fall on distribution and administration.
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Some 49 staff could lose their positions, the report suggested. Between 250 and 280 employees work across the two departments, the newspaper added. PepsiCo has around 950 staff in total in the country.
Just Food has approached PepsiCo for comment but had not received a response at the time of writing.
The US giant’s local headquarters for its business in Belgium is in Zaventem, close to Brussels.
According to the company’s website, PepsiCo has a factory in Belgium, located in the western town of Veurne, that produces snacks including those sold under brands such as Cheetos, Doritos and Lay’s. Soft-drinks groups Refresco and Haacht produce and bottle soft drinks for the business.
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By GlobalDataIn 2021, Europe accounted for 16% of PepsiCo’s US$79.47bn in net revenue and 10% of its operating profit of $11.16bn. On a reported basis, PepsiCo’s net revenue in Europe rose 9%. Its operating profit in the region fell 4.5%.
During the nine months to 3 September this year, PepsiCo’s net revenue in Europe fell 3% to $8.47bn. On an organic basis, net revenue was up 12%.
The division made a nine-month operating loss of $369m – versus an operating profit of $975m in the corresponding period the year before – thanks to charges linked to Russia’s invasion of Ukraine.
In the first quarter of 2022, PepsiCo completed the sale of its juices business to private-equity firm PAI Partners. It retained a 39% of a newly-formed venture that operates across North America and Europe.
