Brown-Forman Implements Cost-Cutting Program
Brown-Forman Corporation announces that due to the difficult economic conditions around the world, it is implementing several initiatives to reduce costs during fiscal 2010, which starts May 1, 2009. Included among the cost-cutting plans is a reduction in force affecting approximately 250 employees out of its global workforce of 4,100 people. The great majority of these will occur in Mexico and the United States, with fewer positions eliminated in Europe and the Asia Pacific region.
"While this was a very difficult decision to make, I believe it is necessary to best position Brown-Forman for both the difficult times we are confronting today and the uncertain and challenging environment that we expect ahead of us," says Brown-Forman chief executive officer Paul Varga.
All employees affected by the reduction in force will be offered severance pay, career counseling assistance, and other benefits.
Among other cost-cutting initiatives planned for fiscal 2010, Brown-Forman is offering early retirement to certain eligible U.S. employees, eliminating merit increases for all employees, and cutting back on discretionary spending, including travel and meetings.
"While this was a very difficult decision to make, I believe it is necessary to best position Brown-Forman for both the difficult times we are confronting today and the uncertain and challenging environment that we expect ahead of us," says Brown-Forman chief executive officer Paul Varga.
All employees affected by the reduction in force will be offered severance pay, career counseling assistance, and other benefits.
Among other cost-cutting initiatives planned for fiscal 2010, Brown-Forman is offering early retirement to certain eligible U.S. employees, eliminating merit increases for all employees, and cutting back on discretionary spending, including travel and meetings.