Syngenta plans cuts affecting 1,800 Jobs to save $1 billion
The measures, affecting about 6 percent of the company’s 28,000 employees, will mostly take place in 2015, the Basel-based company said in a statement today. The cuts are part of a savings program announced in February under which Syngenta will save $1 billion annually by 2018. About $265 million savings are expected next year.
“In the short term, this will underpin the realization of initial cost savings in 2015 in the context of a challenging market environment,” Mack said in the statement. Cuts will be in sales, research as well as moving manufacturing to lower-cost locations, Syngenta said.
Mack has pledged to cut costs after currency swings and issues with Syngenta’s corn business have eroded profit over the last two years. Syngenta has inherent currency risk as it reports in dollars though has substantial operations in the U.K. and Switzerland. About 18 percent of costs in areas such as research and manufacturing are Swiss francs and pounds, with only 3 percent of sales in those currencies.
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