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British American Tobacco will eliminate around 9,000 jobs worldwide as part of a major restructuring aimed at reducing costs and shifting focus from cigarettes to vaping and nicotine alternatives. The company is targeting £600 million in annual savings by 2028 while expanding automation, outsourcing, and AI-led operational changes

British American Tobacco (BAT) is set to cut approximately 9,000 jobs globally as part of a large-scale restructuring effort aimed at reducing costs and accelerating its transition away from traditional cigarettes, according to a Bloomberg report citing an internal company notice.

The planned job reductions represent nearly one-fifth of BAT’s 47,000 employees outside its US operations.

The company is facing declining demand for combustible tobacco products while simultaneously increasing investment in smoke-free alternatives such as vaping devices and nicotine pouches.

According to the internal communication, BAT plans to eliminate around 5,500 roles directly while outsourcing an additional 3,500 positions by the end of this year.