Heineken to cut 8,000 jobs as virus takes fizz out of sales

THE HAGUE, Netherlands — Dutch brewing giant Heineken said on Wednesday it would cut around 8,000 jobs worldwide as the coronavirus pandemic kept much of the hospitality sector closed.

Heineken, the world's number two brewer, said it recorded a net loss of 204 million euros ($247 million) in 2020, a 109% fall in profits from the year before.

Heineken CEO Dolf van den Brink said it had been "a year of unprecedented disruption and transition" for the company.

"The COVID-19 pandemic and governments' measures continue to have a material impact on our markets and business," Heineken said in a statement.

Sales fell by 17% to 23 billion euros with bars and cafes closed in many countries, the company said.

Less than 30% of outlets were operating in Europe in particular at the end of January, it said.

Heineken had announced in October that restructuring was needed to reduce personnel costs but gave no figure for layoffs at the time.

"The overall restructuring programme will reduce our employee base by c.8,000 people," Wednesday's statement said.

This included including cutting jobs at the head office in Amsterdam while other layoffs would depend on local circumstances, it added.

Founded in the 19th century in Amsterdam, Heineken sells more than 300 brands, including its namesake plus others such as Strongbow and Amstel. It employs 85,000 people globally.