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Brewer Heineken to cut 8,000 jobs after pandemic losses

Netherlands Earns Heineken
Posted at 4:45 PM, Feb 10, 2021
and last updated 2021-02-10 16:45:21-05

THE HAGUE, Netherlands (AP) — Dutch beer brewer Heineken says it plans to cut 8,000 staff, nearly 10% of its global workforce, as part of a cost-cutting reorganization.

The decision comes after a pandemic-dominated year that saw it sink to a net loss of 204 million euros ($248 million).

CEO Dolf van den Brink describes 2020 as "a year of unprecedented disruption and transition" for the brewer.

"In a year of unprecedented disruption and transition, our teams rose to the occasion and quickly adapted while not losing sight of the need to continue investing for the future," van den Brink said in a press release. "The impact of the pandemic on our business was amplified by our on-trade and geographic exposure. We took diligent cost mitigation actions balanced with continued investment behind our growth platforms. We gained share in most of our key operations, a testimony to our ability to adapt and stay close to our customers and consumers in these turbulent times. The Heineken® brand was a bright star, with a continued outstanding performance in Brazil. I applaud the dedication and resilience of our employees and their commitment to support each other, our customers, and communities over the past year."

Heineken said Wednesday that it sold 8% less beer than in 2019 as bars and pubs around the world closed during coronavirus lockdowns.

Revenue fell nearly 17% to 23.8 billion euros.

According to the company, beer volumes sold shrank 8.1% and sales fell by 11.9% organically.