Reports: Kellogg Cutting Far More Jobs Than Originally Claimed
This article comes from Breitbart.com
by Warner Todd Huston
Since early this year, breakfast food giant Kellogg has been saying it intends to fire several thousand employees. But now insiders are saying that number will be more like 11,000 when all is said and done.
In February, the cereal maker announced that it was shifting its distribution model and intended to close 39 distribution centers in states all across the country. Thus far, employees in Ohio, Tennessee, Texas, North Carolina, New York, and other states have been informed of their impending layoffs.
The average number of employees left without a job seems to be about 250 per facility closing. At that average, it approaches 10,000 lost jobs. But some facilities have already lost up to 500 jobs, so the 11,000 figure seems more likely.
The latest to be informed of their unemployment were workers in Horsham and Pittsburgh, Pennsylvania, where up to 500 workers will be without jobs by August, The Philadelphia Inquirer reported.
The paper’s insider insisted that the job loss is more extensive than Kellogg wants to admit.
“He figures those losing their jobs include ‘at least 1,500 sales reps,’ plus several support workers and merchandisers for each rep, plus Teamsters truck drivers, loaders, and warehouse support personnel,” The Inquirer reported.
Kellogg’s has been struggling with a changing marketplace and pressure by retailers such as Walmart to cut costs.