- Speculation, based on a warning from H.J. Heinz Co. CEO Bernardo Hees that "change is never easy," suggests that many jobs at Kraft Foods Group Inc. may be cut following the merger between Heinz and Kraft, Bloomberg reported.
- Since 3G Capital took over Heinz in 2013, the firm has slashed about 7,400 jobs at Heinz.
- According to Bloomberg, in a video released to Kraft employees earlier this week, Hees said, "In many places, our similarities will create synergies and our differences will open up opportunities. But we all understand that change is never easy and brings with it a lot of uncertainty and questions."
Because 3G is well known for cutting costs when the firm takes over other companies, speculation that Kraft is next is not without merit. Billionaire investor Warren Buffett defended the Heinz job cuts in an interview with CNBC, "It’s certainly a part of capitalism that if you have excess employees -- or excess costs of any kind -- that you don’t perpetuate those. Having excess costs is not a recipe for success in any business, unless you have a monopoly, and you certainly don’t have it in food," Bloomberg reported.