Nestle is planning to restructure its operations in the Swiss city of Basel. Up to 100 jobs are threatened by cuts or moving production abroad.
Some 177 people are employed at Nestlé’s Basel plant, 100 of which could be under threat over the next 18 months, the Swiss food giant announced on Thursday.
The diverse range of products designed and manufactured at the Basel plant is to become more focused and tailored to current production processes, Nestlé said.
While the manufacture of certain products like salad sauces, dips, and a chicory-based coffee will be moved to other plants in Europe, others (including a spreadable pâté and a roasted chicory product) will be sold off.
Operations in Basel will henceforth focus on the production of mayonnaise and mustard, which Nestlé produces via the well-known Thomy brand. Some CHF15 million ($14.8 million) will be invested into research and production of these products.
“We are aware that the period to come will be a difficult one for our Basel colleagues,” Nestlé wrote in a statement. “We are determined to explore options to support each employee.”
Nestlé, headquartered in Vevey (canton Vaud) employs 9,700 people across Switzerland.
The news comes a day after it was announced that the company’s US unit will dismiss about 4,000 workers as it stops delivering frozen pizza and ice cream directly to stores, transitioning towards a warehouse model that’s becoming an industry standard for ‘big food’ companies.