PepsiCo plans to cut hundreds of jobs, report says

PepsiCo is eliminating hundreds of corporate jobs in North America, according to the Wall Street Journal.

The layoffs will affect employees of its food and beverage businesses in Chicago; Plano, Texas and Purchase, New York, the Journal reported, citing people familiar with the matter and a company memo. PepsiCo’s portfolio includes Gatorade drinks, Frito-Lay snacks and Quaker Oats foods.

The company’s beverage unit is expected to be hit harder by the cuts because the snacks unit already shrank its workforce through a voluntary retirement program, according to the Journal.

A representative for the company declined to comment to CNBC.

Pepsi employed 309,000 people worldwide as of Dec. 25, with more than 40% of those jobs located in the U.S., according to a company regulatory filing.

 In October, PepsiCo hiked its full-year revenue forecast after higher prices boosted its sales. However, some of its business units, including Frito-Lay North America, reported shrinking volume, a sign that consumers were cutting back their snacking to better manage their budgets.

In recent months, companies in the tech and media sectors have been laying off workers to trim costs as economic uncertainty pressures their businesses. Several food and beverage companies have also cut jobs, including Beyond Meat, Impossible Foods and PepsiCo’s main rival Coca-Cola. In November, Coke said it would restructure its North American business through a voluntary separation program that included buyouts.