Unilever To Split Off Ice Cream Biz; Cut 7,500 Jobs Worldwide

Unilever has revealed its plan to split off its ice cream division into a standalone business. The move comes along with a new cost-savings programme, which would impact 7,500 jobs. The company owns ice cream brands such as Magnum and Ben & Jerry.

The plan is expected to be completed by the end of 2025.

It added that employment losses will be implemented globally and that total restructuring expenditure for the time is now projected to be about 1.2 per cent of its turnover.

“Under the Growth Action Plan we have committed to do fewer things, better and with greater impact," said Hein Schumacher, CEO of Unilever in a press statement.

According to media reports, the planned changes are expected to impact around 7,500 predominantly office-based roles globally, with total restructuring costs now anticipated to be around 1.2 per cent of group turnover for the next three years, it further added.

On the separation of the ice cream unit, the company said, "The separation of Ice Cream will assist Unilever’s management to accelerate the implementation of its GAP, announced in October 2023, which is focused on doing fewer things, better, with greater impact to drive consistent and stronger topline growth, enhance productivity and simplicity, and step up Unilever’s performance culture."

"Ice Cream has a very different operating model and as a result, the Board has decided that the separation of Ice Cream best serves the future growth of both Ice Cream and Unilever," commented Unilever.