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Nespresso to establish centres in Spain and Portugal

Nespresso plans to establish dedicated operational centres in Spain and Portugal as part of the Nestlé Group's re-organization of its global information technology (IT) setup.

The operational centres will benefit from existing Nestlé hubs in the areas of e-commerce and supply chain.

Nespresso also intends to create a center of excellence for boutique operations in Italy. It is the company's intention to offer roles in these centers to all of the 80 employees impacted by the proposed change.

Nestle announced the plans on 28 May following a thorough review of its global IT setup. With the changes, Nestlé intends to accelerate its digital transformation and to respond more quickly to fast-paced technological changes.

The company aims to access wider digital skills and to benefit from IT innovation. These measures would also enhance Nestlé's operational effectiveness.

Over the next 18 months, the re-organization could lead to a reduction of up to 500 IT positions in Switzerland.

The plans will now be subject to a period of consultation with the concerned employees, who will be invited to share their comments and feedback.

Nestlé will also work with its employees to draw up detailed social plans to mitigate the impact of the re-organization for the people concerned. Assistance may include job offers from within the Nestlé Group, early retirement or outplacement support.

The plans do not affect any of the company's production sites in Switzerland.

"We understand that this is a difficult time for our employees. Nestlé is committed to treating everyone with respect and appreciation. We will explore all possible options to provide support and to mitigate the impact on our colleagues," said Peter Vogt, Group Head of Human Resources and Member of the Nestlé Executive Board.

"Nestlé remains fully committed to its home base in Switzerland. The relationship between Nestlé and Switzerland is mutually beneficial and the company will continue to invest in the country," he said.

The number of Nestlé employees in Switzerland rose from around 6,700 in 2003 to over 10,100 in 2017. The company has made several important investments in this country over the past years.

Nestlé is currently strengthening its research entities in Lausanne, which is the focal point of its global research and development activities. In 2017, Nestlé invested 289 million Swiss francs (US$292 million) in production, distribution, real estate and IT infrastructure in Switzerland with approximately 300 million Swiss francs invested in 2018.

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