Cadbury slashes jobs to maintain profits
Confectionery group Cadbury forced to shed hundreds of management posts
UK confectionery group Cadbury has unveiled 580 job cuts, mainly in management, in a move to safeguard profit targets.
The company announced 250 job cuts that would arise from dismantling its regional management structure, resulting in seven business units reporting directly to the chief executive.
A further 330 jobs will go in its Australian and New Zealand confectionery.
The maker of Dairy Milk chocolate, Trident chewing gum and Halls cough drops said it was not immune to the current financial crisis and economic slowdown but it operated in relatively resilient markets.
Cadbury, which is facing a slowdown in world markets, higher cocoa prices and the threat from new industry leader Mars-Wrigley, said its nine-month revenues rose 7 per cent after a first-half increase of 7.3 per cent.
The latest job cuts come after Cadbury announced in June 2007 that it would shed 15 per cent of its staff and factories to streamline its operations, which would mean a loss of 7,500 jobs worldwide and the closure of ten plants.
Cadbury, which spun off its North American beverage business Dr Pepper Snapple in May, lost its crown as the world's largest confectionery group when US-based Mars completed its takeover of chewing gum group Wrigley earlier this month.