Unilever to cut 3,200 jobs in Europe to drive growth

Unilever, the British consumer goods firm, is set to cut up to 3,200 office-based roles across Europe by the end of 2025 as part of a broader plan to enhance competitiveness and drive growth. This move is a response to pressure from shareholders, including activist Nelson Peltz, to boost performance. The company aims to reduce a total of 7,500 roles globally, with a significant impact expected in Europe, particularly in London and Rotterdam. The job cuts are part of a productivity program initiated by Unilever's CEO, Hein Schumacher, who took over last year amidst underperformance concerns. The company is also planning to separate its ice cream division, which includes popular brands like Ben & Jerry's and Magnum, to streamline operations. Unilever's decision to scale back on sustainability pledges and focus more on business fundamentals has been met with mixed reactions from shareholders and industry experts. Unilever's workforce reduction strategy is aimed at creating a simpler and more focused company, according to senior executives. The planned job cuts in Europe, affecting around a third of office positions, are expected to be completed by the end of 2025. The company, which employs 128,000 people globally and 6,000 in the UK, is starting a consultation process with affected employees to navigate through these changes. The restructuring efforts at Unilever come after years of criticism for prioritizing social purpose over profits. Shareholders, including prominent investors like Terry Smith, have raised concerns about the company's direction. Unilever's shift towards a leaner organization and renewed focus on core business operations reflect its commitment to driving performance and regaining market share in the highly competitive consumer goods industry.