Shake-up at Diageo sparks job cut fears

DRINKS giant Diageo yesterday announced a shake-up of its international business with two senior executives leaving yesterday.

Stuart Fletcher, (pictured right) president of Diageo International, and chief customer officer Ron Anderson (left) have quit the firm.

Chief executive Paul Walsh said the company’s regions would be re-jigged, indicating that staffing would be reviewed.

He said: “Diageo has begun a review of our business to ensure resources are deployed closer to the market and in those areas where the potential for growth is greatest.”

Meanwhile Walsh praised both outgoing executives who will stay on until the new structure kicks in.

The drinks maker, whose brands also include Johnnie Walker and Smirnoff, is to launch two new divisions, Diageo Latin America and Caribbean and Diageo Africa.

The maker of Guinness has 20,000 staff, and has its head office in London.

Diageo has recently been linked to the owner of Jose Cuervo tequila, having conducted talks to extend a distribution deal or buy the brand outright for over $2bn (£1.2bn).

Diageo distributes the tequila in most big export markets outside Mexico, and is talking to the Beckmann family owners about what happens when this long-term contract ends in June 2013.