PepsiCo Plans Roughly 1,000 North American Job Cuts to Streamline Business
PepsiCo is cutting about 1,000 North American roles to simplify operations and counter softer demand, following a reduced earnings forecast and sluggish beverage volumes.
PepsiCo is eliminating roughly 1,000 positions across its North American food and beverage division as part of an effort to streamline operations and reignite growth. According to reports from Reuters and The Wall Street Journal regarding an internal letter dated November 9, PepsiCo North America Chief Executive Ram Krishnan told staff that the restructuring aims to reduce organizational complexity, speed up decision-making, and clarify accountability while preserving investments in key growth areas.
The targeted workforce reduction follows pressure across the company's domestic operations. Reuters reported that PepsiCo lowered its full-year earnings guidance in October, citing sluggish soft-drink demand, weaker consumer interest in higher-priced snacks, and elevated input costs. During the third quarter, PepsiCo experienced a 2 percent decline in North American beverage volume, while North American food volume remained flat, according to company operating data reported by CNBC.
PepsiCo employed roughly 306,000 workers globally as of December 27, 2025, including approximately 125,000 people in the United States. The planned cuts represent a targeted regional reorganization rather than a company-wide reduction, though management has not publicly detailed the specific locations or departments facing cuts.
The restructuring comes as the beverage company contends with wider operating headwinds. TradingView reported that PepsiCo's shares have gained 0.3% year to date, lagging peer Coca-Cola's 39.6% rally amid weaker volume trends and margin pressures. PepsiCo trades at a forward 12-month price-to-earnings multiple of 16.72X, compared to Coca-Cola's 27.8X.
On Lang & Schwarz, PepsiCo shares were quoted at 129.84 euros on the afternoon of November 12, 2026, marking a 1.98 percent rise above the previous day's Xetra close of 127.32 euros. Investors are now watching whether a simpler corporate structure will improve sales execution and volume without hindering the investments necessary to remain competitive.