Big news this week from Brown-Forman Corporation as the realities of the current spirits marketplace economy continue to be felt. The company will lay off 12% of its global workforce (648 workers) and shutter its barrel cooperage in Louisville, Kentucky. The 210 workers losing their jobs at the cooperage are part of the global total.
Brown-Forman is the fifth largest global spirit company and is home to Jack Daniel’s Tennessee Whiskey, Woodford Reserve Bourbon, Old Forester Bourbon, Tequila Herradura, and numerous other spirit brands.
The company said it will now source its barrels from an external supplier. In addition, the company has restructured its executive leadership team. The company said it expects
all these changes will result in annual savings of $70-to-80 million.
Local media in Louisville reported that employees felt “blindsided” by the news. There are reports that the closing of the cooperage has been planned for some time.
Here’s the explanation of what these changes will mean for the future of Brown-Forman (from a corporate news release): “This organizational evolution will simplify and streamline Brown-Forman’s structure, allowing it to become a more agile and efficient organization and reinvest in the capabilities, technologies, brands, and people that will
drive future growth.”
Whiskey is, of course, a business. Right now, that business is in considerable flux. Whiskey Network will continue to bring you the latest news and thoughts on where the industry is headed.
"I want to express my sincere gratitude to our employees, particularly those impacted by these changes, for their dedication and contributions to Brown-Forman. We are committed to supporting them through this transition and are confident that these strategic initiatives will ensure the company endures for generations to come."
About Brown-Forman (from the corporation):
Brown-Forman Corporation has been building exceptional spirits brands for more than 150 years, responsibly upholding our founding promise of “Nothing Better in the Market.” Our portfolio of premium brands includes the Jack Daniel’s Family of Brands, Woodford Reserve, Herradura, el Jimador, Korbel, New Mix, Old Forester, The Glendronach, Glenglassaugh, Benriach, Diplomático Rum, Chambord, Gin Mare, Fords
Gin, Slane, and Coopers’ Craft. With a team of approximately 5,400 employees worldwide, we proudly share our passion for premium beverages in more than 170 countries. Discover more about us at brown-forman.com and stay connected through
LinkedIn, Instagram, and X.
