Coca-Cola cuts 1,200 jobs as consumers dump soda…

Apr 25, 2017
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Add Coca-Cola to the list that of the companies that will be laying off THOUSANDS in the next year as consumers dump toxic products for healthier options. According to this Fortune report the company will be laying of 1,200 workers in an effort to offset dwindling sales.

Coca-Cola said it will cut 1,200 jobs, the latest major food manufacturer to accelerate cost-cutting efforts as the industry struggles with a weak growth outlook.

The soda giant said it would trim the jobs beginning in the second half of 2017 and carrying into 2018 as it tries to become “faster and more agile.” “While these necessary changes are always very difficult, they will help us do fewer things better to lead and support our operating units,” said James Quincey, who will succeed Muhtar Kent to become CEO of Coke (KO, -0.51%) this year.

Overall, the soda manufacturer said it would expand the company’s current cost-savings program by $800 million to $3.8 billion. Quincey said the company aims to re-invest “at least half of the savings,” though Coke is still finalizing a complete plan for how it will use all the savings beyond simply saying it would create value for shareholders.

Coke’s move to cut jobs comes as many major food and beverage manufacturers—a group collectively known as “Big Food”—have cut thousands of jobs in a bid to trim costs and restructure their operations. Others that have cut jobs have included Hershey (HSY, +0.02%), General Mills (GIS, +0.17%) and Kellogg (K, -0.58%). All have been under pressure to cut costs to boost cash flows because of the aggressiveness at 3G-backed Kraft Heinz (KHC, -0.29%), which has put some pressure on others in the industry to step up their game.

The cost-cutting comes as Big Food manufacturers have found their legacy brands pressuring by a consumer trend toward foods and drinks they deem healthier, a trend executives say will only accelerate over time. Startups—which have raised billions of private investors—have built up impressive sales because consumers say they want the cleaner labels those smaller firms often offer. As a result, companies like Coca-Cola—which is highly exposed to the declining soda industry—have had to change. Coke has aimed to bulk up the company’s healthier offerings by selling more Smartwater, flavored water Vitaminwater, and dairy brand Fairlie.

THOMASDISHAW.COM

THOMASDISHAW.COM

Born and raised in the backwoods of Michigan, Thomas Dishaw is an independent writer and entrepreneur. His work has been criticized in Slate, Right Wing Watch, Gawker, Daily Mail, and NY Daily News. Thomas currently writes for NaturalNews.com and resides in Delaware with his wife and Shih Tzu, where they enjoy healthy eating, politics, MSU Spartans and conservative values.
THOMASDISHAW.COM
  • Black Swan

    More sweet poison please!

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  • Justin Thought

    I HOPE they do not stop making Coca-Cola.

    Nothing cleans the toilet like Coke.

    • L. A. McDonough

      Old timey Pepsi and Coke in the 50’s, 60’s was entirely diff. then, had a real kick to it. Not the same now like lots of foods has been altered. Ice cream is a good example, full of crap you can’t pronounce, instead of cream and sugar, flavoring only. Make your own w/ frozen bananas, almond milk or cream, and bee pollen.

  • cricket

    There was a campaign not too long ago to basically de-value coke as a brand by repeating how bad it was for you. Well people have been drinking coke for decades and no one has died from it. Plenty of other pop/soda brands and companies; where is the disgust for Mountain Dew?, Pepsi? Where is the railing on and about ALL soda brands?

    We love Mexican coke and will drink mostly that. Too bad it isn’t more readily available at a decent cost.

    Will keep drinking it in spite of the nanny hovering.

    • L. A. McDonough

      I do not drink sodas, but used to years back. I drink tea and water. A lady I knew just died at 101 yrs old, and she liked cokes and pastries. To each his own. If people want to drink and eat bad stuff that is their choice, this incl pastries and high salt snacks, beer and cigarettes, etc. Yes, some live way past normal years, a man near me is 91 and drinks 3 shots a day along with beer.

      • cricket

        I can relate. My spouses g’pa died well over 100 y/o. Ate and drank what he pleased-eggs & bacon in the morning, cokes/soda’s during the day, pastries etc, smoked since he was 7, pipes. cigars, cigs, till the day he died…in perfect health, one week after his wife died, who was also quite well and over 100 y/o.
        Much has to do with ones dna and such. What one person eats & drinks may affect them greatly, while it wouldn’t bother someone else. The human body is a marvel and can clear many toxins on it’s own.

  • Chuck Morrison

    When I was growing up in the sixties, soda was considered a ‘treat’, not a staple. No one I knew bought six-packs or twelve packs unless they were going to a special occasion event. I might have averaged two twelve-ounce sodas a month, Neither I, nor any of my regular friends were obese. In fact, the obese were such a minority that when you heard a sentence containing the words ‘the fat kid’, you knew who was being referred to. So Coke’s strategy should be fairly straight-forward: Go retro; go lean; and go green. Return to the original formula (again!) and forsake the use of high-fructose corn syrup. Use Stevia for diet drink sweetener, and go public against Aspartame. Go to returnable glass bottles in two sizes: 8 or 12 ounce only; or cans, including the new bottle cans. Try on a slogan such as “When you know you’ve earned a TREAT,…” Then you can just earn a normal profit, and a normal living, without thinking that your goal is to see a “twelve-pack in every fridge”.

  • David Swanson

    As more people are informed about type 2 diabetes, metabolic syndrome, insulin resistance and the relationship to high fructose corn syrup sweeteners or whatever the euphemisms used for that classification of sweeteners plus the proxy names for aspartame then the sales will continue to slide. Clue! Ding, ding, ding, change the sweetener to cane sugar or something that isn’t going to fry your endocrine system or brain. Is R&D that brain dead or are they drinking too much of their own product?

  • Alleged Comment

    Warren Buffoon’s bad bet? He had a good ride.

    Coke won’t put Cherry Coke out for sale. You always have to buy 2 or 3 more of it for the cheaper price. That’s the one I want to drink but they never put it on sale like the plain coke. I don’t want it in bulk. Just occasionally.

    Big mistake Warren. You don’t put what I like for cheap I just give up my bad habit.

  • Jackie Puppet

    I stopped drinking pop a long time ago when it started giving me acid reflux. I never was a big drinker of pop. I stopped drinking Coke & its other beverages when it started emphasizing its diversity & affirmative action in the workplace.

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