No more free cheese sticks for Kraft employees

The days of free Jell-O and cheese sticks are over for employees at Kraft’s headquarters.

After merging this month with Pittsburgh-based H.J. Heinz, the combined company rolled out policies aimed at curbing expenses such as travel, electricity and office supplies, according to the contents of a memo reviewed by Bloomberg News.

The new Kraft Heinz Co. also has begun cutting jobs — and even yanked the free snacks, according to people familiar with the matter who asked not to be identified because the decisions are private. Refrigerators that used to be stocked with Kraft treats were removed this month, the people said.

The changes echo an overhaul that CEO Bernardo Hees led at Heinz two years ago after Warren Buffett’s Berkshire Hathaway Inc. and investment firm 3G Capital took over the ketchup maker. Within weeks of that deal’s completion, top executives departed, and the new management team went to work cutting costs and jobs.

“The provisions we recently shared across our business — such as leveraging technology and ensuring the judicious use of outside resources — are consistent with many practices already in place,” Michael Mullen, a spokesman for Kraft Heinz Co., said in a statement Thursday. “These provisions reflect our drive for increased accountability and efficiency that will enable reinvestment in our people, products and brands.”

Heinz issued a similar set of proclamations to employees when 3G took over, setting limits on how many pages they could print per month and outlawing mini-fridges.

The belt-tightening and job cuts helped Heinz produce some of the best margins among large U.S. food companies.

The Kraft Heinz memo outlined new guidelines that cap hotel and food spending during travel.