Nigerians affected as Unilever moves to sack 7,500 staff after GSK exits Nigeria

Consumer goods company Unilever has announced plans to cut about 7,500 jobs globally, saving around $869 million in the next three years.

According to reports, the company said the affected jobs are primarily office-based. The step came as it tried to invest in technology to enhance productivity and save money.

Per a statement by the firm, staff would be consulted about the cuts, but it failed to disclose where they would be done.

The company is expected to execute the job cuts over the next two years. The consumer giant has over 128,000 employees globally, with 6,000 in the UK.

Unilever’s chief executive, Hein Schumacher, said that under the firm’s growth action plan, it has committed to doing fewer things better and with significant impact.

He said: “The changes we announce today will help us accelerate that plan.”

“We are committed to carrying out our productivity programme in consultation with employee representatives and with respect and care for those of our people who are impacted.”

GlaxoSmithKline Consumer Nigeria Plc (GSK) informed the Nigerian Exchange Limited (NGX), its shareholders, and other stakeholders that the firm has now received formal approval from the Securities and Exchange Commission (SEC) to begin arrangements to delist from the NGX.

GSK also said that the order of the Federal High Court sanctioning the Scheme of Arrangement has been received, adding that an application for the delisting of the company’s shares from the NGX will soon be submitted. GSK’s exit from Nigeria rattled the healthcare industry, with the market reacting sharply to the news. The price of drugs and other essential healthcare products instantly skyrocketed in Nigeria by over 1,000%.

The company announced in August 2023 that it was exiting the Nigerian market after 52 years of operations. Another international company stops operations in Nigeria Legit.ng reported that Sanofi-Aventi Nigeria, a leading French pharmaceutical company, has decided to close its direct operations in Nigeria.

The company wants to adopt a third-party model to distribute its products in Nigeria starting in 2024. This was disclosed in a memo addressed to stakeholders and customers in the healthcare industry.