Anheuser-Busch InBev, the beverage giant and maker of Bud Light, is to lay off several hundred corporate employees as the sales of its flagship lager face challenges.
The downturn in Bud Light sales was due to a conservative boycott following its March Madness partnership with transgender social media influencer, Dylan Mulvaney.
It faced backlash from other consumers and Mulvaney herself, leading to a sales decline and hurting its stock performance.
A company spokesperson said these job cuts would impact less than two percent of its US workforce, currently at about 18,000 employees.
Approximately 350 positions will be affected, with layoffs spanning various corporate functions.
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The company emphasized that the brewery, warehouse staff, drivers, field salespeople, and others would not be affected.
AB InBev’s CEO, Brendan Whitworth, said: “While we never take these decisions lightly, we want to ensure that our organization continues to be set for future long-term success.
“These corporate structure changes will enable our teams to focus on what we do best — brewing great beer for everyone and earning our place in the moments that matter.”
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While Bud Light was once the top-selling beer in the US, it recently lost its leading position to Constellation Brands’ Modelo.
AB InBev is also currently the subject of a government investigation led by Florida Governor Ron DeSantis.
He instructed the State Board of Administration to review whether the company breached its shareholder duties in partnership with Mulvaney.
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The probe could potentially lead to a lawsuit on behalf of Florida’s pension fund shareholders, as the state holds $53 million worth of stock in Anheuser-Busch.
A company spokesperson said: “Anheuser-Busch InBev takes our responsibility to our shareholders, employees, distributors and customers seriously.
“We are focused on driving long-term, sustainable growth for them by optimizing our business and providing consumers products to enjoy for any occasion.”
