1000 jobs at stake at Friesland­Campina

FrieslandCampina wants to continue working on optimising the organisation in order to reduce costs. The focus is on the production network, the number of management layers and the supporting services and functions. In the Netherlands, Belgium and Germany, productivity in the chain must continue to increase. Non-core activities may be divested. This is expected to result in the loss of approximately 1,000 jobs by the end of 2021, mostly in the Netherlands, Belgium and Germany.

Reorganization

As of 2022, the reorganization should structurally reduce costs by more than 100 million euros per year. Restructuring costs will be between €150 million and €175 million, most of which will be charged to operating profit in 2020. FrieslandCampina wants to strengthen the Company's equity. Income from potential divestments will be used for this purpose.

The future

The implementation of the transformation and the underlying initiatives and projects will be further decided in the coming period. Employees, member dairy farmers and other stakeholders will be informed about the progress. The cooperative will also look at the set-up of the member financing system to ensure that this system is future-proof and contributes to a financially solid dairy company. 

Source: FrieslandCampina