11 January 2012 18:01 [Source: ICIS news]
HOUSTON (ICIS)--US agricultural processor Archer Daniels Midland (ADM) plans to reduce its workforce by 3%, the company said on Wednesday.
Illinois-based ADM said it will eliminate approximately 1,000 mostly salaried positions out of its worldwide workforce of 30,000 employees.
ADM has more than 265 processing plants, 400 crop procurement facilities and several biodiesel plants.
To help reduce its workforce, ADM will offer a voluntary early retirement programme in the US, the company said.
The job cuts should save the company more than $100m/year (€78m/year).
“To ensure that we can continue to compete effectively in our global markets, we are taking actions to streamline our organisation and achieve significant, sustained cost reductions,” said ADM Chief Executive Patricia Woertz.
In its fiscal 2012 third quarter, ADM expects to record a $50m-75m pre-tax charge because of the job cuts.
The cuts should start saving the company money in the fourth quarter of fiscal 2012. ADM should realise the full benefits of the job cuts by the end of third quarter fiscal 2013.
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