Guinness Zero Faces Christmas Supply Threat as Belfast Workers Strike Over Pay Dispute

Business2 months ago182 Views

Britain’s leading non-alcoholic beer, Guinness Zero, is at risk of Christmas shortages as employees at Diageo’s Belfast canning facility prepare for eight days of industrial action. Around 90 workers, represented by the Unite union, are staging a walkout from Friday 5 December until the early morning of Saturday 13 December, calling for a substantial increase in pay. Employees at the Belfast plant claim they receive lower wages than colleagues at Diageo’s packaging site in Runcorn, Cheshire.

The Belfast site is the largest producer of Guinness Zero worldwide, making it a critical hub as demand peaks during the festive season. The Unite union emphasised that the strike would cause severe disruption to production lines just as festive demand for the alcohol-free stout surges. Michael Keenan, Unite’s regional officer, pressed Diageo to address what the union describes as a lack of respect and to present an offer in line with pay expectations.

Diageo responded that it had contingency plans to address any potential impact and expressed disappointment at the industrial action but maintained that continued engagement is essential for reaching a resolution. The company denied the threat of shortages, but the prospect remains a concern for those seeking non-alcoholic options this Christmas.

Guinness Zero launched in 2022 and now stands as the UK’s best-selling non-alcoholic beer, also accounting for about 14 percent of production at Diageo’s St James’s Gate brewery in Dublin. Its rise in popularity has contributed to a renaissance for the brand among younger drinkers and driven renewed interest in the Guinness portfolio. Last Christmas, Diageo was forced to limit supplies of Guinness to pubs in the UK to avoid running out as demand soared; the black stout continues to play a significant role, representing one in every nine pints poured nationwide.

Diageo has recently introduced a “6040” pint, blending Guinness Zero with the classic stout to create a lower alcohol yet full-flavour alternative. The innovation is part of the brewer’s broader efforts to capture evolving consumer preferences. Despite robust sales of Guinness, Diageo shares have declined by almost a third this year; the group attributes this to tough economic headwinds impacting overall sales. The company recently named Sir Dave Lewis as chief executive, known for sharp cost-cutting and strategic turnarounds, following the departure of Debra Crew.

As the strike approaches, attention will focus on whether contingency measures can ensure uninterrupted supply and whether union representatives and management can resolve the pay dispute without further escalation affecting festive trade.

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