British American Tobacco to cut 5,500 jobs in global restructuring

The tobacco giant plans to reduce its workforce by roughly 20% and outsource 3,500 roles as part of a strategic shift toward artificial intelligence.

By Handelsavisen Newsroom · Automated 2026-06-29 08:31 UTC · 1 min read

British American Tobacco (BAT) announced plans to eliminate 5,500 positions worldwide as part of a broader strategic shift toward artificial intelligence.

The company stated that the restructuring is essential to its ongoing transformation, aiming to streamline operations and accelerate the adoption of AI technologies across its global business.

The move represents a significant reduction in the company's workforce, estimated at approximately 20%, signaling a decisive push to lower costs and improve operational efficiency in a challenging market environment.

In addition to the job cuts, BAT intends to outsource 3,500 roles, further reducing its direct headcount.

The move represents a significant reduction in the company's workforce, estimated at approximately 20%, signaling a decisive push to lower costs and improve operational efficiency in a challenging market environment.

The restructuring comes as major corporations increasingly leverage automation and AI to drive productivity.

BAT's decision aligns with a broader trend of cost-cutting measures among large multinationals, including recent layoffs announced by Starbucks in the United States.