Pearson cuts another 3,000 jobs, slashes dividend to revive business

LONDON (Reuters) – British education group Pearson said on Friday it would cut another 3,000 jobs and slash its interim dividend by 72 percent as it started another restructuring programme to tackle the pressures facing its business.

The job cuts, which Chief Executive John Fallon said will mostly come late in 2018 and in early 2019, are in addition to 4,000 roles lost in its previous restructuring.

Pearson announced a plan to cut costs by another 300 million pounds ($394 million) in May in a third cost-cutting programme to try to revive a business hit by the rapid move to digital learning.

The company, which agreed to sell its stake in Penguin Random House to partner Bertelsmann last month, said its outlook for the year was unchanged after it reported a 1 percent rise in underlying sales in the first half to 2.05 billion pounds.

Reporting by Paul Sandle, editing by James Davey

Source: Reuters