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Severance Package Lawyer Update: PepsiCo to Layoff Thousands of Employees

Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for above-the-bar-logo.jpgSnacks and beverage PepsiCo recently announced restructuring plans to cut about 8,700 jobs in order to save about $1.5 billion in costs. The company stated that it will cut jobs in 30 countries and that less than 2,000 of the layoffs will take place in the U.S. PepsiCo, which is based in Purchase, New York, employs about 100,000 workers in the U.S. The Company has stated it plans to layoff 145 employees in Westchester County (80 positions in Purchase; 50 at the bottling facility in Somers; and 15 at the R&D operations in Valhalla). If you are one of these laid off employees in the U.S., call our experienced Severance Attorneys to discuss your rights and options and to help you negotiate a better compensation package.

The job cuts represent less than 3% of PepsiCo’s 300,000 global workforce. Although it is planning cuts, it plans to increase its advertising and marketing spending on its other brands by $500 to $600 million this year “with particular focus on North America.”

This news from PepsiCo comes at a time when its Chief Executive Indra Nooyi said that the company had an 8% annual growth in earnings per share over the last five years and shareholders received about $30 billion back in dividends and share repurchases.

PepsiCo is the 6th largest employer in Westchester, employing about 3,000 employees. PepsiCo has a bottling operation in Somers, a beverage research and development center in Valhalla and its global headquarters in Purchase. Just last week, it helped launch the Hudson Valley Food and Beverage Alliance which will unite local companies in a joint effort to market their products worldwide.

Considering PepsiCo’s involvement in Westchester and that the company has been doing so well over the past several years, it’s layoff announcement is especially shocking to its employees who thought they were secure in their employment working for a solid company. No matter who you work for or how strong you think your company is, you should always be prepared for such news. The following are just a few tips to keep in mind in case you are laid off or you think you might lose your job:

  • In the event your employer offers you a severance package, don’t rush to sign it. Often times, companies offer these severance agreements to prevent former employees from bringing any employment claims that might have occurred during their employment. Make sure you are not signing away any claims you may have for discrimination based on age, gender, national origin, race, or retaliation. Consult with one of our experienced attorneys to ensure that you are getting the best possible severance package.
  • Don’t sign any non-competition, non-solicitation clauses, or non-disclosure statements without consulting our experienced attorneys. Ask for time to review and think about any documents they want you to sign. For example, if you’re in sales, you don’t want to limit yourself geographically or be forced to relocate your family. If you have any special skills or a client list, you want to be able to use it when you are searching for your next job or to help you negotiate a better severance agreement.
  • Keep up to date in your area of employment and current with any training your field may have. For example, if you are IT worker, may sure you know the latest computer programs and news developments in this area. If you work for a hospital, make sure you know what is going on in the health profession. You can make yourself much more marketable by maintaining your expertise and knowledge of what is happening in your industry.
  • Most importantly, stay calm and professional if you lose your job. You may need references from your old supervisor who may also be able to refer you to any job openings he hears of.

If you have recently lost your job, call our Severance Package Attorneys at Villanueva & Sanchala at (800) 893-9645 to help you negotiate the best possible agreement for your needs. Our attorneys have helped many laid off employees get better financial packages and ensure that they were not signing away any rights.

Disclaimer: 

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