Simply Good Foods Company will cut jobs as the US food and beverage group looks to cut costs and speed up decision-making.
In a statement yesterday (April 21), the Colorado-based company said it plans to cut about 15% of overall staffing levels compared to its “previous plans.”
Just food has asked Simply Good Foods how many employees will be affected and what parts of the business they work in.
Earlier this month, the owner of the Atkins and Quest brands posted a second-quarter loss of nearly $160 million amid impairment charges and a 9% drop in sales. The company cut its sales and profit outlook.
Simply Good Foods said yesterday that its measures are designed to reduce overhead, streamline the organization and enable “faster decision-making” while positioning the business for its “next phase of growth.” The changes are expected to generate about $17 million in annual cost savings.
President and CEO Joe Scalzo, who rejoined the company in January, said: “Decisions that affect our people are not made lightly and I deeply appreciate the contributions of everyone in our organization.
“At the same time, I believe realigning our business model and leadership will be critical to improving our corporate responsibility, financial discipline and operational rigor to improve the performance of our entire portfolio and generate greater value for our shareholders.”
In addition to the cost savings program, Simply Good Foods announced changes to its executive leadership team.
Among them was Chief Legal and Corporate Development Officer Timothy Kraft, who has been promoted to Managing Director, assuming oversight of legal, risk, compliance, human resources, M&A and nutrition.
Meanwhile, supply chain director Jason Bendure will report to Scalzo on “a variety of strategic projects” over the coming months before leaving the business.
“Jobs available as Simply Good Foods addresses costs” was created and originally published by Just Food, a brand owned by GlobalData.
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