NORTHBROOK, Ill. (CBS) — Northbrook-based Allstate announced Wednesday that it will be laying off 3,800 employees – or 7.5 percent of its workforce – as part of a restructuring plan.

Allstate announced that the layoffs will primarily affect employees in claims, sales, service, and support functions.

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“Implementing this plan is difficult as we still deal with the impact of the pandemic but necessary to provide customers the best value. We have expanded transition support for impacted employees including prioritized internal hiring, extended medical coverage, expanded retraining support and help in employment searches,” Allstate Chair, President, and Chief Executive Officer Tom Wilson said in a news release.

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The layoffs come alongside amid a multi-year Transformative Growth Plan for the insurance company. The plan calls for an increased market share for Allstate through expanded customer access, more competitive prices, and investments and marketing in technology.

 

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