EMCC European Monitoring Centre on Change

Pernod Ricard

Company/Organisation:
Pernod Ricard

Geographic Location

Country: France
Location of affected unit(s): Marseille, Paris

Company

Sector: Manufacturing
Manufacture of food products, beverages and tobacco products
11.01 - Distilling, rectifying and blending of spirits
Number Employed: 1300

Employment Effects

Announcement Date: 01-10-2019
Planned Job Reductions min: 190
Planned Job Reductions max: 280
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-12-2019
Foreseen End Date: 30-06-2020
Planned Job Creation: 90

Additional Information

Pernod Ricard, the world's second-largest spirits company, wants to boost pastis sales in France by merging its two subsidiaries: Pernod and Ricard, which will result in internal restructuring and in reduction of 280 current job positions and creation of 90 new jobs. In total, 190 jobs will be lost by mid 2020. The group is facing a €60 million drop in revenues for the last two years in the pastis sells due to changes in consumer expectations towards more organic, artisanal and high-end products. The merger will bring together the sales teams of the two previously competing subsidiaries. Thus, a single Pernod Ricard France company will be set up as from 1 July 2020.

A restructuring in France has already been recorded in 2014 with 165 job losses on a total workforce of 1,800, in the framework of a global restructuring affecting 900 positions.

Sources: