PepsiCo is reportedly set to hold talks with staff representatives in Spain over possible changes to its operations in the country.

Local media reports say Spanish trade union CCOO has told employees the review could lead to up to 550 jobs being lost across the business.

The manufacturing giant could be looking to reduce its portfolio in Spain by up to 30% as part of the review, the union said, according to the reports.

It comes after reports last month PepsiCo plans to cut dozens of jobs in Belgium. Some 49 staff could lose their positions, a report suggested, out of a total of around 950 staff in the country. L’Avenir newspaper said the axe would fall on distribution and administration.

PepsiCo is reportedly planning to begin an expediente de regulación de trabajo (ERE) – a permanent dismissal process where employees or representative bodies can negotiate compensation – in Spain in order to streamline operations, centralise certain functions and digitalise some processes.

The food-and-beverage group has approximately 2,600 employees in Spain across three production plants, three logistics centers and more than 80 distribution centers. It has offices in Barcelona, ​​Madrid and Vitoria.

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A spokesperson told Spanish business newspaper Cinco Días it does not plan to close any of its factories or offices.

Between 530 and 550 staff could be affected, mainly in the business’ sales division, Cinco Días reported.

The news of potential job losses follows a positive outlook from the company in its third-quarter results last month.

The Lay’s owner raised its forecasts for key annual sales and earnings metrics despite fears over the impact of inflation on consumer purchasing habits. It forecasted a 12% rise in group revenue on an organic basis, up from previous guidance of 10%.

In the third quarter to 3 September, net revenue across PepsiCo’s Europe operations was US$3.65bn, up from $3.61bn in the corresponding period a year earlier. Organic revenue was up 15% in Europe.

However, Europe’s volumes were the lowest across the board, with food volumes dropping 5% and beverages down 8%.

PepsiCo did not respond to requests for comment on the ERE and potential job losses when approached by Just Drinks.