UK: Wells & Young's plans restructure as Red Stripe loss set to bite
Wells & Young's is facing cutbacks as a series of factors are affecting its business
UK brewer Wells & Young's has revealed plans to restructure its production operations next year which will see up to 13 job roles lost.
The Bedford-based company, the brewing unit of Charles Wells, is proposing to change workers' shift patterns at its brewery meaning a shift will be dropped from next Summer. The group pointed to the “economic environment, an increasingly competitive beer market and the loss of a production contract to brew and package Red Stripe lager” as the reasons for the changes.
Wells & Young has brewed Diageo-owned Red Stripe under contract in the UK since 1976. In 2010, Diageo said it was taking the brewing of the brand in-house, but the following year decided to stick with the Bedford brewer. This contract will now cease next summer.
Wells & Young's said it is entering a consultation process with staff. “The proposed restructure would mean that up to 13 roles would be made redundant within the production department as the organisation reviews its shift patterns,” the group said.
Justin Phillimore, the brewer's MD said: “We have reviewed all areas of the business to identify other efficiency savings, however ultimately the number of staff and shift pattern in production areas must reflect the manufacturing demand of the brewery.”
Looking ahead, the company said it has a “strong portfolio of interesting new beers in the pipeline” that it will be introducing over the next 12 months.
Wells & Young's previously announced job cuts in 2010 after losing the brewing rights for Corona Extra in the UK to Molson Coors.
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