British American Tobacco To Cut 5,500 Jobs Globally

British American Tobacco has announced 5,500 global job cuts and the outsourcing of another 3,500 roles as part of a restructuring aimed at reducing costs.

Channels TV reported that the maker of Lucky Strike and Dunhill cigarettes aims to save 600 million pounds ($792 million) a year by 2028 in a restructuring that will affect around 20 per cent of BAT’s 47,000-member workforce.

The company said the cuts reflect declining demand for traditional cigarettes and a shift toward newer categories including vapes and oral nicotine products.

BAT chief executive Tadeu Marroco said the company was building a more agile and technology-enabled organisation.

The job cuts span BAT’s global workforce except for the United States, its largest market, where the business operates through its subsidiary Reynolds American.

Shares in the company fell 1.5 per cent on the London Stock Exchange following the announcement.

Sources: Channels TV