Nestlé, the Swiss food giant, announced Thursday that 16,000 jobs are expected to be cut over the next two years, which may include Canadian positions.
In an emailed statement provided to the Star, senior vice-president of Nestlé Canada, Catherine O’Brine, wrote that the company is working toward making its operations “more efficient, including leveraging shared services and automating processes, to drive its business transformation.”
The impending layoffs will apply to “markets and functions globally,” but the company could not give a specific number when asked how many Canadian jobs would be affected or its plans.
“Reductions will be implemented with respect and transparency,” O’Brien wrote. “Together with other cost-saving measures, Nestlé is increasing its cost savings target to 3 billion (Swiss franc) by the end of 2027, up from its previously announced target of 2.5 billion (Swiss franc).”
According to its website, Nestlé Canada has more than 3,500 employees across 12 different offices and warehouses. They spend over $700 million a year with Canadian suppliers, which includes an investment of about $43 million in local dairy.
Toronto is the home of the only certified peanut-free Nestlé plant in North America. It’s also where the company manufactures, packages and distributes over 70 per cent of the company’s confectionery brands.
Back in May 2024, workers at a Nestlé plant in Toronto ratified a new contract after a more than three-week strike. Canadian chocolate bars such as Coffee Crisp, Aero and Smarties are manufactured by Nestlé Canada.
Nestlé is a Swiss multinational food and drink conglomerate. It’s also known for making KitKat, Häagen-Dazs, Nescafé, Nespresso.
Back in September, the food giant said goodbye to its CEO, Laurent Freixe, after an investigation into an undisclosed relationship with a subordinate. The company’s chairman, Paul Bulcke, also stepped down shortly after.
The company estimates that about 94 per cent of Canadian households purchase a Nestlé product every year.
