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Arla Foods has announced 140 redundancies, mostly at its head office in Denmark and smaller numbers at administrative offices in Europe and North America as it continues toward €400m in cost savings by the end of 2020.
The job losses result from the restructuring of its marketing, supply chain finance, international and human resources departments – the latest to be affected by the co-op's so-called calcium efficiency programme.
This week's announcement follows a previous batch of 195 redundancies across a range of corporate functions such as finance, legal and information technology, as well as 154 job cuts in cheese processing in the UK. Those job losses were announced in May.
On track
Arla has said it is on track to exceed its €50m cost saving target for this year.
"We are doing this to create a long-term transformation of our company and to reinstate our international competitiveness when it comes to the milk price we pay to our farmers," said chief executive Peder Tuborgh. “The changes we are announcing today will create a simpler and stronger marketing model for our brands, allowing us to faster address local needs both in our European core markets and our newer markets in Asia and Africa," he added.
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