AkzoNobel is to reduce its worldwide workforce by around 2,000 positions as part of its next steps to reduce cost and to enhance the efficiency of its functions.
This initiative is designed to simplify operations, accelerate decision-making, and streamline the company’s management structure.
“Over the last three quarters, we have demonstrated our ability to grow. We aim to accelerate profitable growth by optimising our functional organisation to become more agile in volatile markets and offset headwinds such as rising labour cost,” explained AkzoNobel CEO, Greg Poux-Guillaume.
The reduction in personnel are set to be finalised by the end of 2025.
The plan follows an announcement by AkzoNobel of a €14 million investment at its Suzhou plant in China to accelerate growth and double capacity for marine and protective coatings by 2025.
AkzoNobel’s latest financial results released in July 2024 showed organic sales up 2% for the Q2 2024 driven by higher volumes. Revenue was also up 2%.
Operating income was €270 million down from €279 million on the same period in 2023.
For the first half of 2024, operating income was €531 million up from €461 million.
