Report: PepsiCo to Cut 80 Local Jobs

The report comes weeks after the company announced a 2012 strategy that includes a 3 percent cut to its global workforce.

One of Harrison's largest corporate offices is shedding about 80 jobs, according to a report from The Journal News.

The Purchase-based company began laying off employees on Feb. 9, according to the report. In total, 145 Westchester County jobs will be cut, including 50 at the company's bottling center in Somers and 15 at a research and development center in Valhalla, the report said.

PepsiCo worldwide—a 3 percent cut to its total workforce—on Feb. 9, but did not release where the cuts would be made. The announcement said the money would be used to focus on marketing campaigns. 

The company-wide cuts are expected to save PepsiCo $500 million in each of the next three years, the statement said. In early February PepsiCo said the reductions are part of a "productivity program", during which the company will use new technologies, consolidation and more simplified management structures to eliminate the positions.

The cuts will be spread across 30 countries, but the latest report suggests Westchester will be hit harder than first believed.

PepsiCo Chairman and CEO Indra Nooyi said then that the changes are part of a long-term plan to build on the 8 percent annual growth in core EPS and $30 billion returned to shareholders over the last five years.

"Our goal is to continue on that earnings trajectory over the next 5 to 10 years, fully recognizing that we need to make changes in how we operate to address the challenges we identified in the review process," Nooyi said in a statement.

Part of Harrison's 'Platinum Mile', Pepsico is one of several corporate headquarters located in Purchase office buildings that make up a significant portion of the town's property tax revenue.

Paul Tillotson February 29, 2012 at 10:23 PM
About time the politicians in Albany introduced a soda tax to help the State Budget , support healthy lifestyles & wake up Corporate Welfare Recipients like Pepsi who are always threatening to leave New York but are being soundly thrashed by their main competitor Coca-Cola. Perhaps some new marketing blood is needed as the finance mavens at the top of Pepsi reared on short-term results & cost cutting seem to have been less than stellar in achievement. A soda tax might sharpen their game.
Donna March 01, 2012 at 05:00 PM
OK, and let's make sure that Pepsi leaves Purchase and we have ANOTHER empty building. Just what we need...another tax.


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