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Unilever to Separate Ice Cream Business, Cut 7,500 Jobs

Unilever to Separate Ice Cream Unit, Resulting in 7,500 Job Losses

New Delhi, March 19 (IANS) Unilever, the parent company of Hindustan Unilever, has announced a restructuring exercise to separate its ice cream unit into a standalone business. This move is expected to result in nearly 7,500 job losses globally by the end of next year.

The company stated that the restructuring will impact predominantly office-based roles, with total restructuring costs anticipated to be around 1.2 per cent of Group turnover for the next three years. Ian Meakins, Chair of Unilever, expressed the Board’s determination to transform the company into a higher-growth, higher-margin business to deliver consistently for all stakeholders.

The separation of the ice cream unit will create a world-leading business with brands like Wall’s, Magnum, and Ben & Jerry’s. These brands generated a turnover of 7.9 billion euros in 2023, operating in both in-home and out-of-home segments globally. Unilever aims to focus on a portfolio of superior brands in attractive categories with complementary operating models.

CEO Hein Schumacher stated, “The changes we are announcing will help us accelerate our plan, focusing our business and resources on global or scalable brands. The demerger of the ice cream unit is the most likely route of separation, aligning the company’s capital structure with comparable listed companies.”

In conclusion, Unilever’s decision to separate its ice cream unit aims to enhance its performance and sharpen its portfolio to achieve improved results. The restructuring exercise will position the company for long-term growth and sustainability in the highly competitive consumer goods market.

IANS

IANS, established in 1986, is India's largest independent news service, offering 24x7 news from India and South Asia, and a preferred source for diverse content across six business verticals.

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