Most of the layoffs will occur at the company's headquarters in Springdale, Arkansas, and at corporate offices in Chicago and Cincinnati, the company said in a statement.
“These are hard decisions, but I believe our customers and consumers will benefit from our more agile, responsive organization as we grow our business through differentiated capabilities, deliver ongoing financial fitness through continuous improvement and sustain our company and our world for future generations,” said Tom Hayes, Tyson’s president and chief executive officer.
The company also said that due to a "much better than expected" profit from its beef segment, it was increasing its fiscal 2017 forecast for adjusted per-share earnings to between $5.20 and $5.30, up from $4.95 to $5.05 a share.
Guidance for fiscal 2018 was set for adjusted earnings of $5.70 a share to $5.85 a share, while estimates had been $5.35.
Tom Hayes, Tyson's CEO, said the restructuring is part of the company's "Financial Fitness" plans and an effort to show that it can operate more efficiently.
Tyson did indicate that the synergies from integrating AdvancePierre Foods — a convenience and ready to eat sandwich and snacks company it bought earlier this year for $4.2 billion — plus shedding some other "non-value-added costs," were behind its strong savings projections during the next three fiscal years.