World: New Diageo boss sets cost-reduction targets

Johnnie Walker maker Diageo's new boss, Dave Lewis, has asked executives to cut headcount and other costs as he begins restructuring the struggling spirits group, the Financial Times reported on June 17.

Lewis, nicknamed "Drastic Dave" for aggressive cost cuts at Tesco and Unilever, has set ⁠cost-reduction targets for members of Diageo's executive committee rather than specifying number of roles to eliminate, the report said, citing people familiar with the matter.

An internal announcement on the scale of the job losses is expected next week, the report added.

In an emailed response to Reuters, Diageo said that in February it had shared ⁠its intention to redesign its operating model to improve competitiveness and deliver sustainable returns. It added it would update investors on progress at a Capital Markets Day on August ⁠6.

Lewis said last month the company had begun tackling weak sales in North America, its largest market, which he called its "biggest ⁠challenge", with steps including price cuts on some tequila brands such as Casamigos.

He also said Diageo ⁠had undertaken "fundamental" work to address competitiveness around the world.

19 June, 2026