Heineken said Wednesday it plans to cut up to 6,000 jobs worldwide and expects slower profit growth in 2026 as brewing industry struggling with weak demand.

The reductions represent almost 7% of those of the Dutch company 87,000 employees around the world The beer giant said the cuts are part of a broader strategy aimed at strengthening its operations while continuing to invest in growth.

“To fuel growth and profits, we are stepping up productivity initiatives and (making) changes to our operating model,” Heineken Chief Financial Officer Harold van den Broek told investors on a call announcing the company’s annual call. earnings results. “We are transitioning to a simpler, simpler Heineken focused on empowered operating businesses.”

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Heineken announced on Wednesday its intention to cut up to 6,000 jobs worldwide. (Dado Ruvic/Reuters/Reuters)

Van den Broek said 5,000 to 6,000 papers will be eliminated over the next two years.

“Timelines will vary by market and we will support affected colleagues with care, respect and appropriate assistance,” van den Broek said.

“These actions are designed to deliver €400 million to €500 million in annual gross savings and allow us to continue to invest in our brands and capabilities while supporting healthy growth in operating profit.”

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“These actions are designed to deliver 400 million (euros) to 500 million (euros) in gross annual savings,” chief financial officer Harold van den Broek told investors. (Freek van den Bergh/ANP/AFP via Getty Images/Getty Images)

Some of the job cuts will be concentrated in Europe and non-priority markets, as well as at the company’s headquarters and within its supply network, Reuters reported.

Heineken expects profit growth this year of 2% to 6%, down from the 4% to 8% range it projected for 2025. Rival Carlsberg last week issued a similar forecast, according to Reuters.

The beer industry has been struggling with slowing sales amid tight family budgets, increased competition alternative drinksand the increasing health warnings related to alcohol consumption.

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The cuts come amid Heineken’s search for a new CEO. (Piroschka van de Wouw/Reuters/Reuters)

The cuts also come as Heineken searches for a new chief executive after Dolf van den Brink unexpectedly resigned last month.

Van den Brink will resign in May.

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Heineken did not immediately respond to FOX Business’ request for comment.