CBL to carry out redundancies; brewery impacted by COVID-19

Commonwealth Brewery Limited (CBL) will make fewer than 30 employees from across several areas of the business redundant in a company restructuring exercise that is now being completed, CBL revealed yesterday, adding that decreased tourism numbers have presented increased financial challenges.

The company noted in a statement that the COVID-19 pandemic’s effect on tourism and unemployment has affected its bottom line.

Information sent to Guardian Business explained that the company has suffered sales declines across all revenue streams, including its 700 Wines & Spirits retail stores and its trade accounts.

“Commonwealth Brewery Limited (CBL) advises the public and its shareholders that the company is completing a restructuring exercise as a result of the COVID-19 pandemic,” the media statement revealed.

“Like many companies, CBL faces significant financial challenges as a result of a combination of low tourism numbers, high unemployment and COVID-19 mitigating measures that have all caused a drastic decline in its sales volume. Nonetheless, the company honored its commitment to no COVID-related layoffs in 2020; however, it is simply unsustainable to maintain a full staff complement through 2021.”

CBL said the fallout from the pandemic has now forced the restructuring, as the company positions itself to try to rebound in 2021.

According to CBL, the Ministry of Labour has been notified of the redundancies and an ongoing consultation process is being carried out with the affected employees.

The company said those employees will be paid their full salary and benefits into the new year.

“In fact, CBL is firmly committed to handling the entire exercise with respect, transparency, speed and support to those who may be impacted,” the statement pointed out.

“Since the start of the crisis, the company has implemented a number of cost-saving measures that have lessened the impact to its team. Those cost-saving measures have allowed the company to retain more than 90 percent of its team members, who will be instrumental in helping CBL position itself for recovery and growth in 2021.”

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source https://thenassauguardian.com/cbl-to-carry-out-redundancies-brewery-impacted-by-covid-19/