British American Tobacco announced Monday that it plans to eliminate 5,500 positions and transfer an additional 3,500 roles to outside strategic partners as part of a sweeping restructuring effort — a move that will affect approximately 20% of the company’s total global workforce.
The London-based tobacco company stated that the majority of affected employees have already been informed of the changes, with any remaining consultations being conducted in accordance with local laws and regulations in each country.
Importantly, the company confirmed that workers in the United States will not be affected by the job cuts.
The restructuring is being driven by an artificial intelligence-focused transformation initiative. British American Tobacco projects the cost-cutting measures will generate £600 million in additional annualized savings by 2028, building on a previously announced target of £500 million in savings by 2027.
