Updated version 2 - PepsiCo will cut some jobs in North America

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Reuters, November 9 - PepsiCo (PEP.O) is laying off staff in its North American food and beverage businesses as part of a plan to streamline the division.

According to a letter from North America CEO Ram Krishnan to employees, obtained by Reuters on Monday, the layoffs are expected to take place in the coming week and are aimed at simplifying the company's structure.

In the letter, Krishnan said: "Our goal is to move faster, improve our execution, and invest in opportunities that drive our company's growth."

The layoffs come as the maker of Lay's works to revive growth in its North American business (link), amid weak sales of carbonated drinks, softening demand for higher-priced snacks, and rising input costs.

Last month, the company cut its full-year profit outlook (link) following reports of continued weakness in the North American market, especially in its beverages division.

The Wall Street Journal earlier reported that PepsiCo is cutting about 1,000 jobs in its North American food and beverage businesses.

According to its annual report, as of December 27, 2025, PepsiCo had approximately 306,000 employees globally, including about 125,000 in the United States.

As part of a business overhaul launched about a year ago after activist investor Elliott Investment Management (link) invested roughly $4 billion, the company has been working to achieve cost savings through increased productivity.

PepsiCo shares rose about 1% in afternoon trading on Monday.

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