British American Tobacco (BAT), the FTSE 100 tobacco company behind brands including Dunhill, Lucky Strike, Vuse and Velo, announces a major restructuring aimed at cutting costs and shifting more work to technology-led operations. Multiple outlets report that BAT will cut about 5,500 jobs directly across its workforce. In addition, the company plans to move a further 3,500 roles to third-party providers, with at least one report naming Accenture as a partner involved in the outsourcing.
Altogether, the job impacts total around 9,000 positions globally. The Financial Times reports that the cuts and outsourcing are expected to affect roughly one in five jobs, reflecting the scale of the change. BAT also signals a savings target, with one report citing £600 million in cost reductions. The restructuring is presented as part of broader efforts to manage market pressure, including a slump in sales and increased emphasis on vaping products, alongside efforts to modernize operations.
BAT’s plan consolidates workforce reductions and outsourcing as a central part of its cost-cutting strategy, with implementation across multiple functions and regions.