PepsiCo to cut about 1,000 jobs in North America to improve performance
The reductions are expected over the next week, according to an internal letter from the North America CEO.
PepsiCo plans to cut about 1,000 jobs across its North American food and beverage operations. The company is trying to streamline its business and improve results as demand weakens and costs rise.
In October, PepsiCo lowered its full-year 2026 core earnings per share growth forecast to between 2.5% and 3.5%, down from an earlier expectation at the low end of a 5% to 7% range. Its North American beverage sales volume fell 2% in the third quarter, even though segment revenue rose about 5%. Activist investor Elliott Investment Management has pushed for productivity improvements and holds a stake valued at roughly $4 billion.
In an internal letter, North America CEO Ram Krishnan said the changes aim to simplify the organization and speed up decisions. The company employed about 306,000 people worldwide as of Dec. 27, 2025, including about 125,000 in the United States. PepsiCo has not said which locations or departments will be affected.
Key points
- About 1,000 jobs will be cut across North American operations.
- The cuts are expected to happen over the next week.
- PepsiCo cut its 2026 earnings growth forecast in October.
- Elliott Investment Management has a stake valued at roughly $4 billion.
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