FILE PHOTO: The 3M logo is seen at its global headquarters in Maplewood, Minnesota, U.S. on March 4, 2020. The company has been contracted by the U.S. government to produce extra marks in response to the country’s novel coronavirus outbreak. Picture taken March 4, 2020. REUTERS/Nicholas Pfosi/File Photo

(Reuters) – 3M Co said on Thursday it would cut about 2,900 jobs globally and scale back on investments in slower-growing markets as part of a restructuring that is expected to lead to pre-tax savings of up to $350 million.

The company said it expects to record a pre-tax charge of $250 million to $300 million due to the move, with $120 million to $150 million to be incurred in the fourth quarter of 2020.

“The COVID-19 pandemic has advanced the pace of change and disrupted end markets around the world, increasing the need for companies to adapt faster,” Chief Executive Officer Mike Roman said.

3M said the restructuring actions would allow it to take advantage of global market trends in e-commerce, health care, automotive electrification and home improvement.

The company had 96,163 employees as of Dec. 31, 2019.

The company said it expects the restructuring to result in pre-tax savings of $200 million to $250 million this year and $75 million to $100 million in 2021.

Reporting by Sanjana Shivdas in Bengaluru; Editing by Aditya Soni

Via Reuters Finance

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