Tuesday, 23 January 2018

Kleenex-maker Kimberly-Clark to cut at least 5,000 jobs

Kleenex-maker Kimberly-Clark has said it will close or sell 10 manufacturing plants and cut at least 5,000 jobs - about 12% of its workforce.

The move comes as the Texas company struggles to lift sales. In the fourth quarter of 2017, sales rose by just 1%.

Kimberly-Clark said the restructuring would streamline its supply chain, saving at least $500m by the end of 2021.

The savings are in addition to a plan to reduce costs by $1.5bn in that time.

Kimberly-Clark chief executive Thomas J Falk said the restructuring - which carries costs of as much as $1.9bn by 2020 - will make the company "leaner, stronger and faster".
"These are difficult but necessary actions to make Kimberly Clark an even stronger company going forward," he said on a phone call with financial analysts on Tuesday.

In a statement, he described market conditions as "challenging".

BBC           News.