Work Politics Lead Ben & Jerry’s Owner to Ditch Ice Cream

This separation will transform the company’s ice cream division into a standalone business. Unilever also revealed that a sale of this division could be possible amidst rumors the company has had enough of Ben and Jerry’s woke politics.

The multinational company first entered the ice cream business when it bought Walls in 1922. Since then, the corporation has acquired many other frozen treat brands and businesses.

Today, Unilever’s ice cream division includes five of the top 10 ice cream brands worldwide.

In March, a spokesperson for Unilever announced the company’s plans to separate its ice cream brands into a standalone business. 

This restructuring is anticipated to save about $870 million.

Therefore, brands like Ben & Jerry’s, Wall’s, and Breyers will be included in this new business branch. Klondike, Popsicle, Magnum, and Talenti will also be a part of this sector.

However, the company also mentioned it would be open to selling the new frozen division in the future. 

At the time, Unilever claimed the planned restructuring would help “to drive growth and unlock potential.”

This business move and Unilever’s entire restructuring plan could possibly affect about 7,500 jobs. By laying off these workers, the company strives to achieve that $870 million in savings.

They aim to focus on “superior brands with strong positions in highly attractive categories that have complementary operating models.”

Speaking on the ice cream business, Unilever said they have “a very different operating model, and as a result, the board has decided that the separation of ice cream best serves the future growth of both ice cream and Unilever.”

“The separation of Ice Cream and the delivery of the productivity program (sic) will help create a simpler, more focused, and higher performing Unilever,” he said. 

However, after Unilever announced it may be open to selling the new frozen standalone business, many were quick to suggest the multinational company is looking to offload brands like Ben & Jerry’s. 

From time to time, this has resulted in a fair deal of controversy for the parent company. 

This souring became quite public when Ben & Jerry’s filed a lawsuit against Unilever in 2022.

This also occurred right around the time Ben & Jerry’s stopped the sale of their products in Jewish settlements in the contested area of East Jerusalem, as well as in the Israeli-occupied West Bank.

Recently, a public spat occurred when billionaire Nelson Peltz got on Unilever’s board while also holding a position at the Simon Wiesenthal Center. The center had previously called for a boycott of Ben & Jerry’s over their comments denouncing what Israel was doing in Gaza.

This matter was thought to be resolved when Peltz officially resigned from his spot at the Wiesenthal Center. However, now that Ben & Jerry’s and other ice cream brands are heading to their own division, bad blood may still exist.

According to some experts, the ice cream brand has created various political problems for Unilever over the years and has even alienated various sects of past and potential consumers. 

Overall, sales of the corporation’s ice cream products have only sluggishly risen.

This lack of a beneficial rise in sales can be blamed on a lot of reasons. However, some new studies have shown that a decrease in sales may be because of an increase in weight loss drugs like Ozempic.

As the Ozempic fad doesn’t appear to be slowing down any time soon, ice cream brands will likely have to find a new efficient way to target people who want a sweet treat, yet still want to eat healthy.

Most recently, Nestlé revealed in 2019 that it was going to sell its ice cream businesses. Nestlé used to own popular brands such as Dreyer’s and Häagen-Dazs.