Heineken to cut up to 6,000 jobs globally, lowers profit growth forecast amid industry struggles
Heineken said Wednesday it plans to cut up to 6,000 jobs globally and expects slower profit growth in 2026 as the beer industry grapples with weak demand.
The reductions represent nearly 7% of the Dutch company’s approximately 87,000 employees worldwide. The beer giant said the cuts are part of a broader strategy aimed at strenghtening its operations while continuing to invest in growth.
"To fuel the growth and the profit, we are stepping up productivity initiatives and [making] changes to our operating model," Heineken Chief Financial Officer Harold van den Broek told investors on a call announcing the company’s annual earnings results. "We are moving to a simpler, leaner Heineken centered on empowered operating companies."
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Van den Broek said between 5,000 and 6,000 roles will be eliminated over the next two years.
"Timelines will vary by market, and we will support impacted colleagues with care, respect and appropriate assistance," van den Broek said.
"These actions are designed to deliver 400 million [euros] to 500 million [euros] of annual gross savings and allow us to continue investing in our brands and capabilities while supporting healthy operating profit growth."
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Some of the job cuts will be concentrated in Europe and non-priority markets, as well as at the company’s headquarters and within its supply network, Reuters reported.
Heineken expects profit growth this year of 2% to 6%, down from the 4% to 8% range it projected for 2025. Rival Carlsberg last week issued a similar forecast, according to Reuters.
The beer industry has been grappling with slowing sales amid tight household budgets, increased competition from alternative beverages, and growing health warnings related to alcohol consumption.
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The cuts also come as Heineken searches for a new chief executive after Dolf van den Brink unexpectedly resigned last month.
Van den Brink is set to step down in May.
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Heineken did not immediately respond to FOX Business' request for comment.