The Kraft Heinz layoffs have begun

Mergers often mean cutting redundancies, and that will surely make employees nervous with retrenchment looming. But if you were going to retire or quit anyway then perhaps it’s not such bad news. 

I’ve been through retrenchment and it’s often sad as the original culture is lost. A good company culture is hard to build and even harder to retain after a merger. 


In a widely expected move, Kraft Heinz is cutting 2,500 jobs, the company announced Wednesday. That amounts to 5% of the company’s 46,000 employees, with affected workers located in the U.S. and Canada.

This marks the first round of layoffs at the newly merged food giant after Heinz bought 51% of Kraft in March in a deal brokered by Warren Buffett and the Brazilian private equity firm 3G Capital. Given that management group’s reputation for aggressive cost-cutting, most observers expect more layoffs to follow.

3G, which orchestrated Brazilian beer giant InBev’s takeover of St. Louis mainstay Anheuser-Busch in 2008, promptly cut 1,400 jobs from the acquired company. It put executives from InBev in many of the senior positions at Anheuser-Busch, including Carlos Brito, a protégé of 3G founder Jorge Paulo Lemann, as CEO of the newly merged Anheuser-Busch InBev. Beer industry consultant Tom Pirko told the St. Louis…

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