Diageo new CEO tells executives to cut jobs and costs, FT reports
Diageo new CEO tells executives to cut jobs and costs, FT reports
ReutersWed, June 17, 2026 at 5:44 PM UTC
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1 / 0People walk past a sign for Diageo, the world's largest spirits company, in LondonPeople walk past a sign for Diageo, one of the largest spirits companies in the world, in London, Britain, January 30, 2026. REUTERS/Hiba Kola
June 17 (Reuters) - Johnnie Walker maker Diageo's new boss, Dave Lewis, has asked executives to cut headcount and other costs as he begins restructuring the struggling spirits group, the Financial Times reported on Wednesday.
Lewis, nicknamed "Drastic Dave" for aggressive cost cuts at Tesco and Unilever , has set cost-reduction targets for members of Diageo's executive committee rather than specifying number of roles to eliminate, the report said, citing people familiar with the matter.
An internal announcement on the scale of the job losses is expected next week, the report added.
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In an emailed response to Reuters, Diageo said that in February it had shared its intention to redesign its operating model to improve competitiveness and deliver sustainable returns. It added it would update investors on progress at a Capital Markets Day on August 6.
Lewis said last month the company had begun tackling weak sales in North America, its largest market, which he called its "biggest challenge", with steps including price cuts on some tequila brands such as Casamigos.
He also said Diageo had undertaken "fundamental" work to address competitiveness around the world.
(Reporting by Aatrayee Chatterjee in Bengaluru; Additional reporting by Krisha Bhatt; Editing by Tasim Zahid and Maju Samuel)
Source: “AOL Money”
