Too many redundancies at company leads to production problems

A company has had production problems after making too many staff redundant.Too many redundancies at company leads to production problemsThe compnay- is having to hire extra staff to improve production of favourites including Corn Flakes

Cereal maker Kellogg’s has announced a £43.6 million investment in its factories after too many job cuts undermined production standards.

The US firm is recruiting 300 US plant workers in a bid to improve quality.

John Bryant, Kellogg’s chief executive officer, said the company “cut deeper than it should have” and is now hiring staff.

Kellogg’s also unveiled profits of £181 million for the third quarter of 2011, down from £211 million a year earlier.

The move follows a worldwide cull of staff in 2009, which saw an estimated 1,500 employees lose their jobs.

Kellogg’s shares fell 7.6% at $49.96 (£31.22p) on the New York stock exchange.

The firm’s products include Pop-Tarts and Nutri-Grain cereal bars, as well as Corn Flakes and Rice Krispies.

In June, U.S. regulators found listeria – a bacterium that causes serious food poisoning – at a Kellogg’s biscuit-making plant in Georgia, and warned the company about “significant violations” of manufacturing regulations.

That incident followed a recall of millions of boxes of cereal in 2010 due to an unusual smell, and a recall of some Special K protein bars in 2009.

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November 4, 2011 · Home Based Jobs · Comments Closed
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