The French will lay out further plans in August for a restructuring of its business

The French will lay out further plans in August for a restructuring of its business

Pernod Ricard has proposed a reorganisation of part of its French distribution units that could see up to 60 jobs cut. 

The company is currently consulting with “employee representatives” over the plans, which affect the two separate units - Pernod and Ricard. The firm is proposing to merge the two units' back-office services, covering IT, finance, human resources and purchasing. 

The proposed measures are part of a wider global cost-cutting initiative by the Paris-headquartered firm - called Allegro - announced in February. The move is aiming to save EUR150m annually over three years.  

On the plans for France, a Pernod Ricard spokesperson told just-drinks today (19 June): “We have just started the consultation phase.” The representative stressed it was not a merger of the two distribution units, but a “pooling” of their support functions. 

A total of 156 employees currently work across the two units. Under the changes, 30 support staff will stay at offices in Créteil, while 66 jobs will be on offer at the new unit in Marseille, leaving 60 roles redundant. Staff without a position under the restructure could potentially be found roles among the company's other subsidiaries, the spokesperson said. 

Pernod Ricard's marketing, sales and production teams in France will not be affected by the changes, it is understood. 

More details of cost-saving plans and restructuring by Pernod's other global divisions will be revealed during its full-year results announcement on 28 August. 

In April, the company reported a 7% slip in nine-month group sales as government measures in China continued to hamper the sale of spirits

Pernod's rival Diageo is also undergoing a restructure as part of global cost-saving measures. Last week, the UK-headquartered company confirmed it has cut around 200 head office and regional roles.