Colgate-Palmolive to axe more jobs to offset challenging economic conditions

Colgate-Palmolive intends to axe more jobs as part of an extended restructuring programme as it struggles with challenging economic conditions.

The world’s leading toothpaste maker’s programme is expected to end next year, reported Reuters.

This restructuring programme is expected to cut 3,300 to 3,800 jobs across its global operations.

Earlier, Colgate had stated that it expected to close the restructuring programme this year and would axe around 2,700 to 3,200 jobs.

The company derives over three-fourths of its revenue from markets outside the US. In order to offset the impact of the stronger dollar, it has been increasing prices.

However, this move has dented its volumes in Latin America, which is its biggest market in terms of sales.

The firm had stated that it would take pre-tax charges of $1.41bn to $1.59bn by the end of December 2017, which is up from its earlier estimates of $1.28bn to $1.44bn under the programme.

It also intends to cut costs of its supply chain operations and concentrate on bolstering its commercial hubs.