The announcement Aug. 12 by Kraft Heinz Foods Co. that it would cut 2,500 jobs companywide will affect its operations in Tarrytown where 129 employees will be laid off between now and Nov. 11.
According to a notice filed with the state Department of Labor, the layoffs are due to a merger between Kraft Foods Group Inc. and the H.J. Heinz Holding Corp. The merger occurred in March, resulting in the third-largest food and beverage company in the nation.
At the time of the merger, Warren Buffet, head of the international conglomerate Berkshire Hathaway said, “This is my kind of transaction, uniting two world-class organizations and delivering shareholder value. I”™m excited by the opportunities for what this new combined organization will achieve.”
A hint of what was to come was made at that time when the company stated the merger would result in an estimated $1.5 billion in annual cost savings that would be implemented by the end of 2017.
Two years ago, Berkshire Hathaway joined with Brazilian private equity firm 3G Capital to buy H.J. Heinz Co. in a $23 billion deal. Later in 2013, the owners took the company private. Today, Berkshire and 3G have a 51percent stake in Kraft Heinz. Jorge Paulo Lemann is 3G”™s founder and considered to be Brazil’s richest individual.
It could not be determined what operations were left at the former Kraft Foods building at 555 S. Broadway. A message was left with the human resources department of Kraft Heinz Foods for details.
In 2013, Montefiore Medical Center bought the former Kraft research and development center for $33 million. Montefiore had begun moving offices from the Bronx and Yonkers into the 300,000-square foot building that overlooks the Hudson River on the south side of the Tappan Zee Bridge.
At the time of the closing, Montefiore was to lease space back to Kraft for it operations. In 2012, Kraft had moved most of its beverages business to its headquarters outside of Chicago. In this week”™s announcement, about 700 jobs were to be cut at Kraft”™s headquarters, which is to be relocated to downtown Chicago. Heinz operations will remain in Pittsburgh.
A day before announcing the companywide layoffs, Kraft Heinz CEO Bernardo Hees commenting on second-quarter results said: “The company is focused on the difficult and challenging process of integrating our two businesses. We have a lot of hard work ahead of us as we continue to design our new organization, always putting our consumers first.”
Astorino & Cuomo say nothing about this. How about that open for business bs that Cuomo campaigned for.