To achieve business cost reductions, Campbell Soup plans to lay off workers  As it grapples with quickly-rising commodity costs that are eating into its profit margins and hurting revenue, Campbell Soup Co. announced that it will cut some of its workforce to achieve business cost reductions, according to a published report.

Reuters reports that Campbell Soup, which is one of the biggest manufacturers of prepared foods in the U.S., will layoff roughly 800 employees as part of a series of planned cost-cutting measures. What's more, the food company said it will close an office in Russia and an automating operations facility in Australia, illustrating the efforts it is taking to trim its business costs.

Following the announcement, the company's stock edged up 1 percent in after-hours trading. Campbell Soup has more than 18,000 employees in its global workforce. According to company officials, the layoffs and closing are projected to save the company as much as $60 million per year beginning in the fiscal year 2012, and more than $70 million in the fiscal year 2014.

The company said it will complete the phasing out of certain employees in the fiscal year 2013. The company added, however, that the moves will initially cost about $75 million.
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  1. WHY ? Cost-cutting to do what....increase profits ? They have products of everyday use and have largest market share in soup business. So why the need to crush their own employees who have helped to achieve this .... just for few extra bucks in profit.

  2. Because Donovan McNabb's mom is no longer their spokeperson.

    Mmmmmmmmm Soup.