British American Tobacco (BAT) said it plans to cut about 5,500 jobs globally by the end of the year as part of its Fit2Win restructuring program. The company on Monday also said 3,500 additional roles have moved to partners, bringing the total number of affected employees to about 9,000. The changes do not affect the United States, BAT said.
The restructuring program, launched in 2025, aims to strengthen the business and position it for long-term sustainable growth, the company said.
Fit2Win is on track to deliver the company’s previously announced about $796 million in annual cost savings by 2028, the company said in a statement.
BAT CEO Tadeu Marroco said the changes affect “many of our colleagues, and we are focused on supporting them through this transition with care and respect, as we position the business for the future.”
Marroco said the London-based maker of Vuse e-cigarettes and Velo oral nicotine pouches is building a “future-ready organization that is more agile, cost-disciplined and technology-enabled.”
BAT had said earlier this year that it was planning savings to make it "more digital and AI-focused," the BBC reported.
Reynolds American Inc., a subsidiary of BAT, said in March that it will invest more than $3.2 billion in its U.S. operations by 2030. The investments will expand manufacturing capacity and support innovation across its nicotine product portfolio, the Winston-Salem, North Carolina-based company said. In April, Reynolds American announced plans to expand its Clarksville, Tennessee, plant to keep up with demand for smokeless tobacco products.
The company plans to hire more than 50 employees for manufacturing roles at the plant operated by American Snuff Co., the nation’s second-largest manufacturer of smokeless tobacco products. Its leading brands are Grizzly and Kodiak, Reynolds American said.
Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.