Please drink more strong lager - Urgent appeal
Soaring commodity costs and falling sales of its premium lager have forced Inbev, the Belgian brewing giant, to axe up to 250 jobs at two Stella Artois breweries in Lancashire and Wales.
Up to 166 workers in Samlesbury, Lancashire, and 80 in Magor, south Wales, face redundancy after an operational review by Inbev. A consultation process with affected employees has started. Unions and workers' representatives have vowed to fight the move, which the GMB union described as "shocking".
Brewers are under intense pressure after wheat prices have doubled over the last year. Hops prices are predicted to rise by 150 per cent this year. The increase is down to poor global harvests, increased demand from India and China and a spike in demand for biofuels. Due to intense competition in the beer sector, the brewery has been reluctant to pass the price increases on to drinkers.
Inbev said that brewing would continue at the sites, but with fewer staff. It said that the review was part of "normal" business operations, "particularly in today's economic environment with rising raw materials, packaging and energy costs".
Sales are also under pressure. Alan McVann, the GMB's convener at the Samlesbury site, said that sales of Artois have dropped by 10 per cent over the last year as customers have opted for less expensive, weaker lager. Samlesbury employs 380 people, meaning that the proposals will affect almost half the workforce.
Up to 166 workers in Samlesbury, Lancashire, and 80 in Magor, south Wales, face redundancy after an operational review by Inbev. A consultation process with affected employees has started. Unions and workers' representatives have vowed to fight the move, which the GMB union described as "shocking".
Brewers are under intense pressure after wheat prices have doubled over the last year. Hops prices are predicted to rise by 150 per cent this year. The increase is down to poor global harvests, increased demand from India and China and a spike in demand for biofuels. Due to intense competition in the beer sector, the brewery has been reluctant to pass the price increases on to drinkers.
Inbev said that brewing would continue at the sites, but with fewer staff. It said that the review was part of "normal" business operations, "particularly in today's economic environment with rising raw materials, packaging and energy costs".
Sales are also under pressure. Alan McVann, the GMB's convener at the Samlesbury site, said that sales of Artois have dropped by 10 per cent over the last year as customers have opted for less expensive, weaker lager. Samlesbury employs 380 people, meaning that the proposals will affect almost half the workforce.