LOUISVILLE, Ky. (WDRB) --Â Brown-Forman's recent announcement of layoffs at its cooperage facility marks another major restructuring move for a prominent Louisville-based company, reflecting ongoing challenges faced by businesses in a shifting economic landscape.
The whiskey giant will cut 210 jobs at the plant, where skilled workers craft barrels used in the company’s spirits production. While Brown-Forman remains one of the few distillers to produce its own barrels, rising costs and competitive pressures have prompted a change in strategy.
“This is about finding ways to be more efficient,” said Joshua Pinkston, an associate economics professor at the University of Louisville. “The cost of running both a whiskey and barrel-making business was more than sourcing barrels from other suppliers, as most whiskey makers do.”
Brown-Forman’s restructuring is part of a broader trend affecting other Louisville corporations.
Last year, health insurance giant Humana scaled back its local operations, opting to vacate its 27-story downtown headquarters as a cost-cutting measure.
Similarly, in 2022, Papa John’s explored selling its eastern Jefferson County campus before ultimately deciding to retain it, keeping nearly 600 employees in the city.
Pinkston noted that evolving workplace dynamics, including a shift toward remote work, have influenced how businesses approach their physical footprints.
“With fewer people working in offices daily, cities like Louisville must rethink what downtown spaces are for,” Pinkston said.
Despite the layoffs, Brown-Forman's broader operations remain strong.
The company confirmed its ongoing sponsorships with local organizations, including the Louisville Ballet’s annual “Nutcracker” performances, are reviewed regularly but have not been affected by the restructuring.
“Brown-Forman isn’t going away,” Pinkston said. “This is about a single aspect of their operations.”
The fate of the cooperage facility remains uncertain, with no immediate plans for its use after the April 25 closure. Brown-Forman has provided no additional details about potential future tenants.
For now, more than 200 barrel makers — specialists in a centuries-old craft — will face an uncertain job market as Louisville continues to grapple with changes affecting its largest employers.
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