Dutch brewing giant Heineken has revealed plans to eliminate up to 6,000 positions globally over the next two years, a move that represents approximately 7% of its total workforce. This decision comes as the company grapples with declining beer sales and revenues, even as profits saw a modest uptick in the previous year.
Financial Performance and Workforce Reduction
In 2025, Heineken experienced a 1.2% decrease in beer sales and a 4.7% drop in revenues. However, the company reported a profit increase of 4.4%, reaching 1.9 billion euros (equivalent to C$3.06 billion). The layoffs are attributed to challenging market conditions and are part of a broader strategy to enhance productivity and streamline operations.
CEO Statement on Strategic Shifts
Heineken International CEO Dolf van den Brink emphasized the company's focus on accelerating growth through increased productivity and operational changes. In a statement, he noted, "Our first priority is to accelerate growth, funded by stepped up productivity and operating model changes that will involve a significant cost intervention over the next two years." Van den Brink, who announced his departure last month after nearly six years as CEO, highlighted that the cuts are also influenced by digitalization and artificial intelligence initiatives.
Impact of Technology and Global Operations
The job reductions are linked to Heineken's EverGreen 2030 strategy, which aims to drive growth and efficiency. Van den Brink explained to CNBC that around 3,000 roles will transition to business services, leveraging technology and AI for ongoing productivity savings. He stated, "That's a very big part of our EverGreen 2030 strategy, with around 3,000 roles moving to our business services, where technology digitization in general, and AI specifically, will be an important part of ongoing productivity savings."
Heineken employs about 87,000 people across more than 70 countries. In Canada, the company maintains a corporate office in Toronto but does not brew its beers locally. The firm has committed to annual savings of 400 to 500 million euros (C$644.68 million to C$805.85 million) as part of its productivity goals.
Future Focus on Premium Brands
Looking ahead, Heineken plans to concentrate on its premium brands and invest in growth areas. The layoffs are seen as a necessary step to adapt to evolving market dynamics and technological advancements, ensuring the brewer remains competitive in a challenging global landscape.
