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Home Entrepreneurship

Report: PepsiCo Layoffs Could Mean Hundreds of Job Losses

December 7, 2022
in Entrepreneurship
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Pepsi is set to be the latest company inciting a round of massive layoffs, according to a new report by the Wall Street Journal.

The company (which oversees soft drinks like Gatorade and Pepsi as well as popular snack brands like Lays and Doritos) reportedly will target hundreds of employees in the beverage division in three major markets — Purchase, New York; Plano Texas and Chicago, Illinois.

The WSJ said that the layoffs were meant to help “simplify the organization” so that it could “operate more efficiently,” per an internal memo seen by the outlet.

As the end of the fiscal year looms, PepsiCo is coming off of a somewhat strong Q3 2022, with an 8.8% quarterly net revenue growth and a 7.7% net revenue growth year to date.

The company’s most recent earnings report even upped the expected delivery of organic revenue growth to reach the 12% mark year over year whereas it was previously expected to be only 10%.

As per a filing in August 2022, PepsiCo reported that it had a total of 299,297 permanent employees by the end of 2021 in addition to 11,103 temporary employees bringing the total number of employees heading into 2022 to 310,400.

It was not specified exactly how many employees or teams would be affected other than the vague usage of the word “hundreds.”

The company recently made headlines after running a holiday campaign with contentious actress Lindsay Lohan that showed the star indulging in a drink called “Pilk,” a combination of milk mixed with Pepsi.

Feeling nice…or naughty? @Pepsi, let’s make #PilkandCookies happen #PepsiPartner pic.twitter.com/1QMb1spgqm

— Lindsay Lohan (@lindsaylohan) December 1, 2022

“Combining Pepsi and milk has long been a secret hack among Pepsi fans,” Pepsi’s Chief Marketing Officer Todd Kaplan said in a company release regarding the new campaign. “Now with the rise of the ‘dirty soda’ trend on TikTok and throughout the country, we thought Pilk and Cookies would be a great way to unapologetically celebrate the holidays with a new and delicious way to enjoy Pepsi this season.”

PepsiCo was up over 9% in a one-year period as of late Tuesday afternoon, even as layoffs loom.



Read the full article here

Tags: Business NewsLayoffsNews and TrendsPepsiCo

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