The Brown-Forman Corp., a giant spirts company based in Kentucky, announced Tuesday it plans to reduce its global workforce by 12% as part of a “a series of strategic initiatives to position the company for continued growth in the dynamic global spirits market.”
The workforce layoffs are expected to affect around 650 employees, or 12% of Brown-Forman’s 5,400 employees worldwide. The company also plans to close its Louisville-based barrel-making operation, Brown‑Forman Cooperage, by April 25. That will cut jobs for about 210 hourly and salaried employees and is part of the overall layoffs.
Brown-Forman’s portfolio includes brands Woodford Reserve, Old Forester and Jack Daniel’s.
Brown-Forman says it will offer affected employees “severance, outplacement services and benefits consistent with their terms of employment.” It plans to source barrels from an external supplier in the future.
“In 2025, Brown‑Forman celebrates 155 years of delivering Nothing Better in the Market. We have achieved this impressive milestone in part because of our relentless focus on evolving our strategy, our portfolio, and our organization to grow and thrive,” said Lawson Whiting, the company’s president and CEO, in a statement. “Today’s announcement will ensure we have the structure and teams in place to continue on this path, while also making investments that we believe will facilitate growth for generations to come.”
Brown-Forman expects to pay out about $60 million to $70 million in severance payments and other costs related to the layoffs and closing the Louisville cooperage. The company projects an annual savings of $70 million to $80 million, some of which “is expected to be reinvested to accelerate growth.” The company anticipates the sale of the Louisville cooperage assets to be more than $30 million.
The Louisville cooperage opened in 1945.
In its Tuesday announcement, the company also announced new executive leadership roles:
- Jeremy Shepherd has been named chief marketing officer.
- Michael Masick has been named president, Americas. Masick will continue commercial leadership for Mexico, South and Central America, and the Caribbean.
- Yiannis Pafilis has been named president, Europe, Africa, Asia Pacific. Pafilis currently leads teams across Europe.
- Chris Graven has joined the executive leadership team as chief strategy officer.
This article is republished under a Creative Commons license from Kentucky Lantern, which is part of States Newsroom, a network of news bureaus supported by grants and a coalition of donors as a 501c(3) public charity. Kentucky Lantern maintains editorial independence. Contact Editor Jamie Lucke for questions: info@kentuckylantern.com. Follow Kentucky Lantern on Facebook and Twitter.
McKenna Horsley covers state politics for the Kentucky Lantern. She previously worked for newspapers in Huntington, West Virginia, and Frankfort, Kentucky. She is from northeastern Kentucky.
