It wasn't a sweet day for Hershey workers.

The candy maker said Tuesday that it'll cut its global workforce by about 15%, which likely amounts to about 2,700 people. The company employs about 18,000 people worldwide, according to public filings last December.

The cuts will be "driven primarily by its hourly headcount outside of the United States," the company said in a statement.

Hershey (HSY) said the layoffs are part of a plan to help its international businesses "return to profitability as soon as possible," Hershey CEO Michele Buck said in a press release, and to boost profits.

The company said in its most recent earnings release on February 3 that weighing on its foreign business are unfavorable currency exchange rates and other "macroeconomic challenges...especially in China."

Hershey has been beating Wall Street estimates with its recent earnings reports, and its stock is up 4.8% so far in 2017. But the company says it's taking cost-cutting measures in order to continue driving net sales and profit.

Hershey will offer more details about its cost savings plan at its investor conference in New York on Wednesday.</s>Hershey Co. says it expects to cut its global workforce by about 15 percent, with the layoffs coming mostly from hourly employees outside the United States.

Start the conversation, or Read more at Powhatan Today.</s>Hershey expects to cut its global workforce by about 15 percent, with the reductions coming mostly from hourly employees outside the United States.

The Pennsylvania chocolate maker also trimmed its forecast for long-term sales growth to between 2 percent and 4 percent, down from the previous 3 percent to 5 percent. The company attributed the lowered expectation to changes in U.S. shopping habits and macroeconomic challenges overseas.

CEO Michele Buck will discuss the measures in New York when she meets with analysts Wednesday.

The maker of Hershey chocolate bars and other candies said a smaller workforce is part of its effort to streamline the company and improve its operating profit margin. Hershey is expecting pre-tax charges of up to $425 million over the next three years as a result of the plan, which includes the costs of closing plants and offices and other expenses related to job cuts.

Hershey Co. operates eight factories outside the U.S. As of December, Hershey employed approximately 16,300 full time and 1,680 part-time employees worldwide. A 15 percent workforce reduction would therefore represent about 2,700 employees.</s>Hershey Co. says it expects to cut its global workforce by about 15 percent, with the layoffs coming mostly from hourly employees outside the United States.

The Pennsylvania-based chocolate company also lowered its forecast for long-term sales growth to between 2 and 4 percent, down from the previous 3 to 5 percent, J.P. Morgan analyst Ken Goldman noted. Hershey says chief executive Michele Buck will have more to say when she briefs analysts in New York on Wednesday.

The maker of Hershey chocolate bars and other candies said the layoffs are part of a program aimed at improving the operating profit margin through a streamlined operating model and reduced administrative expenses. The company estimates it will incur pre-tax charges of up to $425 million over the next three years as a result of the plan, which includes the costs of closing plants and offices and other expenses related to the layoffs.

Hershey operates eight factories outside the U.S. As of December, Hershey employed approximately 16,300 full time and 1,680 part-time employees worldwide. A 15 percent workforce reduction would therefore represent about 2,700 employees.</s>REUTERS: Hershey Co , maker of Hershey's Kisses and Reese's Peanut Butter Cups, said on Tuesday it would cut its global workforce by about 15 percent as part of a restructuring program.

The company said it would book pre-tax charges of US$375 million-US$425 million related to the plan and expected to save US$150 million-US$175 million by the end of 2019.

The company also cut its 2017 profit forecast to US$3.19-US$3.45 per share from US$4.54-US$4.65 per share estimated earlier.

As of Dec. 31, the company had about 16,300 full-time employees worldwide and employed 1,680 on part-time basis.

Hershey's new chief executive, Michele Buck, said he would discuss the company's plans at an investor conference in New York on Wednesday.

The U.S. chocolate maker has been pinning its hopes on Buck, who takes over from John Bilbrey on the same day, to build on a recovery in demand in North America.

The company's shares were down marginally at US$107.95 in extended trading on Tuesday.</s>NEW YORK — Hershey says it expects to cut its global workforce by about 15 percent, with the reductions coming mostly from hourly employees outside the United States.

The Pennsylvania-based maker of Reese's, Kit Kat and Twizzlers also cut its long-term sales growth forecast to between 2 percent and 4 percent, down from the previous 3 percent to 5 percent. Hershey, which gets the majority of its revenue from North America, attributed the lowered expectations to “changes in U.S. shopping habits” and challenges overseas.

The job cuts, which could come to about 2,700 workers, are part of Hershey's plan to improve its operating profit margin over the next three years, and the company said it will share more details on the measures in the future. Other major packaged food makers including Coca-Cola Co., General Mills Inc. and Kellogg Co. have been slashing costs as sales growth has slowed.

During a meeting with analysts in New York on Wednesday, Hershey CEO Michele Buck noted that the chocolate and candy category is nevertheless well positioned because it is “highly impulsive” with “expandable consumption.” And she noted that the company plans to benefit from the snacking trend in the U.S. that has people eating more frequently throughout the day.

Already, Hershey has been trying to transform its portfolio of products to better take advantage of that behavior, particularly as people look for snacks that promise some sort of nutritional benefit. For instance, the company recently introduced “snack mixes” that include its chocolates and ingredients like nuts and pretzel balls. It also acquired a meat jerky company in response to the demand for snacks with protein, and said it will look for other acquisition opportunities.

J.P. Morgan analyst Ken Goldman said he believes many of the job cuts announced by Hershey will come from Shanghai Golden Monkey, a Chinese candy company Hershey acquired in 2014. Hershey has reported declining chocolate sales at its China business in recent quarters, and Goldman called the acquisition “largely disappointing.”

Hershey is expecting pretax charges of up to $425 million over the next three years as a result of its plan to improve the operating margin, which includes the costs of closing plants and offices and other expenses related to job cuts.

Hershey Co. operates eight factories and eight distribution centers outside the United States. As of December, it employed approximately 16,300 full-time and 1,680 part-time employees worldwide. A 15 percent workforce reduction would therefore represent about 2,700 employees.</s>REUTERS: Hershey Co , maker of Hershey's Kisses and Reese's Peanut Butter Cups, said will make certain changes to its operations, resulting in a 15 percent reduction of its global workforce.

As of December 31, 2016, the company had about 16,300 full-time and 1,680 part-time employees worldwide.</s>Sign up for one of our email newsletters.

HERSHEY — Hershey Co. could cut 15 percent of its global hourly workforce, primarily outside the United States.

The Pennsylvania-based company says chief executive Michele Buck will have more to say on the plan when she briefs analysts in New York on Wednesday.

In a statement on Tuesday, the marketer of Hershey chocolate bars and other candies said the layoffs are part of a program designed to improve the operating profit margin through a streamlined operating model and reduced administrative expenses.

Hershey operates eight factories outside the U.S.</s>HERSHEY, Pa. (AP) — Hershey Co. could cut 15 percent of its global hourly workforce, primarily outside the United States.

The Pennsylvania-based company says chief executive Michele Buck will have more to say on the plan when she briefs analysts in New York on Wednesday.

In a statement on Tuesday, the marketer of Hershey chocolate bars and other candies said the layoffs are part of a program designed to improve the operating profit margin through a streamlined operating model and reduced administrative expenses.

Hershey operates eight factories outside the U.S. As of December, Hershey employed approximately 16,300 full time and 1,680 part-time employees worldwide.</s>March 1, 2017

 by The Associated Press

HERSHEY, Pa.—Hershey Co. says it expects to cut its global workforce by about 15 per cent, with the layoffs coming mostly from hourly employees outside the United States.

The Pennsylvania-based chocolate company also lowered its forecast for long-term sales growth to between 2 and 4 per cent, down from the previous 3 to 5 per cent, J.P. Morgan analyst Ken Goldman noted.

The maker of Hershey chocolate bars and other candies said the layoffs are part of a program aimed at improving the operating profit margin through a streamlined operating model and reduced administrative expenses. The company estimates it will incur pre-tax charges of up to $425 million over the next three years as a result of the plan, which includes the costs of closing plants and offices and other expenses related to the layoffs.

Hershey operates eight factories outside the U.S. As of December, Hershey employed approximately 16,300 full time and 1,680 part-time employees worldwide. A 15 per cent workforce reduction would therefore represent about 2,700 employees.
The Hershey Company announces it will cut about 15 percent of its global workforce (~2,700 jobs) to return its international businesses to profitability as quickly as possible. The layoffs will have a greater impact on the international workforce.