Bad news for employees of the Kraft Heinz Company: The macaroni and cheese and ketchup producers are cutting 2,500 jobs in the United States and Canada.
The bulk of the cuts will be at the company’s headquarters in Northfield, Illinois. Reuters reports that Kraft Heinz will remove 700 of the 1,900 jobs at headquarters.
Kraft Heinz currently has a total of 46,000 employees. A spokesperson told Reuters that the company expects to save about $1.5 billion in annual costs by the end of 2017.
Back in March, Kraft and Heinz merged in a $46 billion deal. Heinz is also backed by multi-billionaire investor Warren Buffett and his conglomerate company Berkshire Hathaway.
Berkshire Hathaway bought out Heinz in 2013. In the process, they terminated 7,000 jobs and closed six factories in the span of a year and a half.
Kraft Heinz shares were down 0.8 percent this year but have risen by about nine percent since early July.