Unilever to cut thousands of jobs
CONSUMER products group Unilever is planning to cut thousands of middle managers as part of its accelerated cost-reduction programme.
Incoming chairman Patrick Cescau is understood to want to reduce its 18,000-strong middle-management tier following last week's shock profits warning.
The firm, whose consumer brands include Marmite, Flora and Carte D'Or, will focus on having just one operating company - as opposed to many - in each of its 150 territories.
Cescau, who takes over from Niall FitzGerald, believes the distance between the board and the brands is too great.
A Unilever spokesman said there was no target for job cuts, although comments made by Cescau appear to indicate otherwise.
The spokesman added that many of the jobs will go through voluntary redundancy and natural wastage. 'This is a bottom-up exercise designed to simplify things,' he said.
He added that slimming product Slim-Fast is on 'final watch' after reports the brand was up for sale.
FitzGerald's 37-year Unilever love-in ended on bad terms last Monday when he told investors that profits would grow by less than 5% this year, compared to a previous 10% target.
He blamed Europe's dismal summer for slow sales of ice cream and Lipton Ice Tea.
