US-based Kraft Foods, which acquired UK chocolate maker Cadbury, has initiated talks to cut up to 600 jobs in Britain over the next 18 months, a media report said.
Kraft is planning to shut down its UK head office in Cheltenham and transfer operations to existing Cadbury sites in Bournville and Uxbridge, the Telegraph said in a report.
"The Cheltenham site, which employs 450 staff, will be closed. Customer service functions in Sheffield and Banbury, Oxfordshire, will also be transferred, with the potential loss of a further 150 jobs. The changes will take place over the next 18 months," the report said.
Kraft Foods UK & Ireland President Nick Bunker said the business rationale for the restructuring was "compelling".
Staff were informed of the restructuring yesterday, but the report cited Bunker as saying that it was too early for Kraft to say how many jobs would be lost.
He also said there would be opportunities for staff from the three offices to move to other sites, including Bournville.
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Kraft, which had takeover Cadbury in a controversial 11.7 billion pounds deal, has faced criticism over its handling of the merger.
In February, Kraft had announced that it would shut Cadbury's Somerdale plant near Bristol, leading to a loss of 400 jobs.
As part of the restructuring, Kraft would make Cadbury's former Bournville site the enlarged group's 'centre of excellence' for chocolate research and development.