Food and beverage giant Nestlé plans to cut 16,000 jobs worldwide over the next two years as part of a restructuring program aimed at lowering operational costs, the company announced on Thursday, October 16.
The move comes as the Vevey, Switzerland-based group struggles with weakening financial performance. New CEO Philipp Navratil, who took office in September 2025, confirmed the plan in a statement published on the company’s website.
“The world is changing, and Nestlé needs to change faster. This will include making hard but necessary decisions to reduce headcount over the next two years,” Navratil said. “We will do this with respect and transparency. Along with other measures, we are working to substantially reduce our costs, and today we are increasing our savings target to CHF 3.0 billion($3.75 billion) by the end of 2027.”
According to Nestlé, the job reductions will include about 12,000 corporate office roles across various functions and global locations, and 4,000 positions in manufacturing and supply chain operations, as part of ongoing productivity initiatives.
The cuts follow a period of weaker results for the company. Nestlé’s 2024 financial report showed a 2% year-on-year drop in sales to 91.35 billion Swiss francs, and a 3% fall in net profit to 11.17 billion Swiss francs.
The downward trend has continued into the 2025 fiscal year. For the first nine months of 2025, Nestlé reported a 1.9% year-on-year sales decline to 65.9 billion Swiss francs, indicating overall performance broadly in line with 2024.
African operations
The company has not yet specified how the job cuts will be distributed geographically. Nestlé maintains a strong commercial presence across all 54 African countries, selling its products throughout the continent, although its industrial base remains limited.
According to its 2024 annual report, Nestlé operates around 20 factories in 12 African countries, including Algeria, Cameroon, Côte d’Ivoire, Ghana, Nigeria, Kenya, Morocco, Senegal, and Zimbabwe.
It remains to be seen how much the company’s African operations will be affected by the workforce reduction program.
Cc: Stéphanas Assocle
