Unilever signs outsourcing contract with IBM

LONDON: Anglo-Dutch consumer products group Unilever Plc said on Friday it has signed an outsourcing contract with IBM, the world's biggest computer company, that will lead to several hundred job cuts.

Financial terms were not disclosed although Unilever said cost savings under the 7-year outsourcing contract would contribute to a targeted 700 million euros ($831.4 million) of annual savings.

Unilever said IBM would provide a number of financial services from IBM centres in Portugal, Poland and India.

Around Unilever 750 jobs are likely to be affected. "This change will affect quite a number of our employees in Europe," said Kees van der Graaf, president of Unilever Europe.

"When jobs are affected we will do our best to find alternative employment," he added in a statement.