FireslandCampina said it intends to lower costs by reducing over 1,800 jobs worldwide, with 1,200 of those cuts coming in 2024.

The dairy co-op, which had almost 22,000 employees in 2022, said the reductions would be in almost all parts of the organisation.

CEO Jan Derck van Karnebeek acknowledged the impact the decision would have on the people involved, but said “these cost savings should contribute to FrieslandCampina's ability to compete and win in the market for the benefit of our employees and member dairy farmers”.

Annual savings

The co-op said the job reductions would lead to annual savings of €180m to €200m.

The cut in employees is part of a wider cost-reduction plan aimed at making savings of up to €500m per year. FrieslandCampina will book €170m in costs related to the plan in the current financial year.

Blaming what it called the “disappointing financial results” for 2023 and the one-off restructuring costs, FrieslandCampina said it would not be paying any supplementary cash payments to farmers this year.

Last year, a supplementary cash payment of 90c/100kg milk was paid.