Molson Coors restructures as beer sales decline, moves some positions to Milwaukee
MILWAUKEE -- Molson Coors, the parent company of MillerCoors, announced on Wednesday, Oct. 30 that it will be restructuring and downsizing as it faces declining beer sales. But the City of Milwaukee stands to benefit from these changes.
Milwaukee Mayor Tom Barrett
"I think as most people are aware, Milwaukee has been the home to Miller beer for well over a century, and we are a proud home," said Milwaukee Mayor Tom Barrett. "With the announcement today from Molson Coors, it is clearly part of our future as well."
As part of the changes, Molson Coors is laying off 500 workers worldwide.
"We all recognize that the brewing industry is undergoing a revolution right now. People's consumption habits are changing, the sizes of breweries are changing, and there are many new entrances into the field," Barrett said.
MillerCoors in Milwaukee
FAIRFAX, CA - MAY 02: Cans of Coors beer are displayed on a shelf at a liquor store on May 2, 2018 in Fairfax, California. Molson Coors Brewing Co. reported first quarter earnings that fell short of analyst expectations of $2.44 billion with revenue
Molson Coors expects to save $150 million by closing offices in Denver and elsewhere and simplifying its structure. Its four business units — U.S., Canada, Europe and International — will be consolidated into North America and Europe, with other regions reporting to those two. Chicago will be its North American headquarters. Support functions like finance and human resources that are scattered around the U.S. will now be based in Milwaukee. That means the Milwaukee brewery may gain some positions.
"These are essentially white-collar jobs that are very very good-paying jobs which we are proud to host here in the City of Milwaukee," Barrett said.
It is not clear exactly how many or what kind of jobs will be available. But Barrett believes this difficult company news reinforces Milwaukee's position as the City of Beer.
MillerCoors in Milwaukee
"On the global picture, if you will, there's a bit of a mixed reaction. But clearly, Milwaukee is going to be a beneficiary of what's going on here," Barrett said.
Molson Coors is dropping "Brewing" from its name to emphasize that it makes more than beer. It will become Molson Coors Beverage Co. in January.
Assembly Speaker Robin Vos (R-Rochester) issued the following statement on this move:
“I would like to thank MillerCoors for expanding its workforce in Wisconsin and its continued commitment to the state. Governor Evers also should be commended for following through on the income tax credits that Governor Walker and the Wisconsin Economic Development Corporation authorized for the company in 2017. It’s good to see that the governor is beginning to understand the importance of providing incentives to help spur business and job growth.”