Urgent.News

What's breaking now, across thousands of outlets.

Business

I’m the CEO of Torani, and we've never done layoffs. I believe they're a choice.

Melanie Dulbecco says layoffs are a financial exercise that doesn't build resilience or momentum.

Melanie Dulbecco, CEO of Torani for 35 years, stated that the company has never had to make layoffs. In an interview, she emphasized that Torani's decision not to lay off employees has contributed to employee retention. Dulbecco explained that the company is currently hiring fewer people than it would be if they did not utilize automation.

She noted that automation is used to eliminate manual, repetitive jobs with limited career advancement opportunities and AI is used for consumer and market research, sales forecasting, and demand planning. Despite this, her team does not worry about AI replacing their jobs as they trust that Torani will both automate and elevate work, ensuring no opportunities are squashed and everyone’s success is prioritized.

Dulbecco highlighted the importance of working together, collaborating, addressing challenges, and being resilient in difficult times, which has also played a role in Torani's retention strategy. During the pandemic, they faced a significant decision due to the stay-at-home order and the need to repay loans for their new location in San Leandro.

Instead of resorting to layoffs, they scaled back marketing and advertising expenses and paused all company travel, with all departments reviewing their budgets to identify and eliminate non-essential costs. Despite a 20% decline in revenue during the early months of the pandemic, Torani quickly pivoted to online retail and grocery to fill the gaps left by cafes and drink shops closing their doors.

The company ended 2020 with a 15% year-over-year revenue increase, and Dulbecco emphasized that the company could not have achieved this without their team remaining together, underscoring the importance of unity in overcoming adversity.

Written by urgent.news from Business Insider's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

Read the original at businessinsider.com →

More in Business

More from Sunday 18 October →