Groupe SEB, the French manufacturer of Tefal cookware, has announced it will cut nearly 7% of its workforce. The company is undertaking a major strategic restructuring, leveraging artificial intelligence to drive a business recovery.

As of the end of 2024, the company employed approximately 31,000 people. Groupe SEB stated that its new recovery plan will impact up to 2,100 positions globally. Approximately 1,400 of these positions are in Europe, with up to 500 jobs in France potentially being eliminated through voluntary departure schemes.

The company announced on Wednesday that its new business transformation plan includes the application of artificial intelligence, accelerating time-to-market for products, and boosting online sales through digital marketing. The majority of these adjustments will be implemented in 2026, with associated costs planned for 2027.

The company's goal is to achieve annual cost savings of approximately 200 million euros (equivalent to 235.5 million US dollars) by the end of 2027.

"The environment in which we operate is undergoing profound changes, which further intensified in 2025," the company stated.

Groupe SEB reported that its 2025 sales saw a slight increase of 0.3% on a comparable basis, reaching 8.17 billion euros. However, operating profit fell by 25% year-on-year to 601 million euros. The company attributed this significant decline in profitability to a challenging operational year.