PepsiCo Layoffs 2026: Jobs Most at Risk

PepsiCo layoffs in 2026 are now a reality for some employees as the company cuts jobs in its North America food and beverage business. The move is part of a plan to reduce the unit, Reuters said. The cuts are expected to occur in the next week. The burning question for workers is which teams will be hit first.

Quick Facts

Company: PepsiCo (PEP.N)
Unit Impacted: North America Food & Beverage business
Reported scale: About 1,000 jobs, per The Wall Street Journal
Timeline: Cuts will be made in the next week
The stated goal is to simplify the company’s structure.
Workforce worldwide: Around 125,000 of them in the US (As of December 27, 2025). Close to 306,000 employees

What PepsiCo Has Said

The news came in a letter from PepsiCo North America chief executive Ram Krishnan to staff, seen by Reuters on Monday. “The goal is to help the business move faster, execute better and invest in the opportunities that will drive growth,” he said. The company has not publicly detailed which roles are impacted, so the full employment impact is still unknown.

Reasons for the Restructuring

The PepsiCo restructuring comes after a tough stretch in the region. Soda sales are flat, demand for pricier snacks has fallen off, and input costs remain high, Reuters reported. The company lowered its full-year earnings forecast last month, citing ongoing weakness in North America, especially in the area of beverages.

Investor pressure is part of the picture, too. PepsiCo has been seeking productivity savings as part of a turnaround effort that began after activist investor Elliott Investment Management took a stake of about $4 billion a year ago. This push is part of this cost-cutting strategy.

What Jobs Could Be Most at Risk?

PepsiCo has not identified specific departments, so any assessment is an educated reading of the company’s own language and not confirmed fact. However, with the stated goal of a simpler structure, roles associated with layers of management, overlapping functions, or duplicated reporting lines are more exposed than frontline positions. Teams that are attached to the weaker beverage division may also get more scrutiny given where the sales softness has been concentrated.

It remains to be seen whether PepsiCo will reduce its manufacturing and supply chain operations. Workers in these areas are urged to get official updates rather than speculate.

What Employees Should Do

Anyone who is told their role has changed should get written details of notice periods, severance terms and benefits. Read them carefully before signing anything. Know your employee rights during layoffs. It may be helpful to check local employment rules or talk to a qualified adviser. It’s also good to update your CV and professional network early, as the broader food and beverage industry is watching cost pressures very closely.

The Bottom line

The impact is immediate for those affected, but the numbers are small relative to PepsiCo’s global workforce. Shares climbed about 1% in late-afternoon trading Monday, suggesting investors viewed the move as a step toward efficiency. The extent of this restructuring will become more apparent as the week progresses.