INSIDER INFO: Acquisitive conglomerate reduces workforce amid 'great transformation'

July 4, 2024
5:28PM PHT

The recent exit of employees and officers at one of the country’s largest conglomerates has observers scratching their heads, given its string of major acquisitions, from airports to cola.

Insiders said a few dozen people at the Aboitiz Group were let go during a recent workforce restructuring at a time when other large business houses are expanding their headcount.

We reached out to Aboitiz Group CEO Sabin Aboitiz, who explained this was part of “normal streamlining and job movements” within its various business units.

He told InsiderPH, “some jobs are moved to the business units where some don’t want to move,” adding that this will not affect its current business strategy.

Insiders said some of those movements involved positions in new ventures that failed to achieve the desired results. This is part of the group’s “great transformation,” which Aboitiz affirmed they remain dedicated to pursuing.

“Those were experiments a couple of years ago. Some joined other units, some left,” he said.

The group is among the most acquisitive in recent years via high-profile purchases such as the Mactan Cebu International Airport project, Coca-Cola Philippines, and the consumer assets of Citi.

These acquisitions, worth several billions of dollars combined, could take time to digest. The group’s sector choices indicate a strong focus on future growth, however, stock prices have yet to reflect this confidence, suggesting that investors remain cautious.

About the author
Miguel R. Camus
Miguel R. Camus

Miguel R. Camus has been a reporter covering various domestic business topics since 2009.

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