The Coca-Cola Co. says it’s laying off 2,200 workers, or 17% of its global workforce, as part of a larger restructuring aimed at paring down its brands.
The company said around 1,200 of the layoffs will occur in the U.S., with around 500 of those eliminated in Atlanta, where the company is based.
These layoffs come after the beverage company offered buyouts to about 4,000 employees in August. At the time, the company said their operating model had 17 business units, and they would consolidate that to just nine.
The voluntary and involuntary separations, and severance packages are expected to cost the company between $350 million to $550 million, according to CNN.
Coke employed 86,200 people worldwide at the end of 2019.
The coronavirus pandemic has hammered Coke’s business, forcing the company to accelerate a restructuring that was already underway.
Coke is reducing its brands by half, to 200, so it can focus on bigger sellers like Minute Maid juices and energy drinks. Earlier this year, they announced ZICO coconut water, Tab, Odwalla juices, and some regional sodas will be discontinued.