On the 2 Sept, after it had earlier been reported in the GHI local newspaper, JTI confirmed that it would be making job cuts. The cuts come as part of a wider restructuring process and will take place over a three-year period. Some of the positions may be relocated to East Asia and Eastern Europe.
The decision comes after the company spent 18 months analysing its operations in an attempt to improve competitiveness. Around 1,100 people are currently employed by the Geneva headquarters and this figure is set to be around 900 once the changes have taken place, SWI reported.
JTI employs 45,000 people worldwide and its headquarters have been based in Geneva since 2015. Moving forward, the company plans to keep these offices, based in Geneva’s international district, as its headquarters.
JTI has recently faced a decline in sales, especially in Japan, and this has had a negative impact on the company’s bottom line. A blanket ban on smoking at the 2020 Tokyo Olympic Games combined with the merger of rival tobacco companies, Philip Morris and Altria, may also put pressure on the industry, SWI reported.