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Molson free beer allocation goes flat for N.L. retirees

Posted: Tue Jun 09, 2009 6:29 am
by woodpecker
from:

http://www.cbc.ca/canada/newfoundland-l ... t-605.html

Molson free beer allocation goes flat for N.L. retirees
A group of retirees protested outside of the Molson Brewery facility in St. John's after the company said it was cutting the amount of free beer they get as part of their pension plan.

Molson pensioners in St. John's used to receive six dozen beers per month as part of their benefits package. That has now been cut to one dozen per month according to a letter sent to employees across the country. The allocation will be dropped altogether in five years.

The letter says the changes have been made on account of competitive pressure and the current economy, which have forced the company to "monitor costs and look for innovative ways to control and reduce them."

The changes weren't going over well with pensioners in St. John's who accused the company of arbitrarily removing benefits they were promised when they retired.

"'There's been no consultation with the members, and they've taken beer from them, which is a taxable benefit" said Greg Pretty of the FFAW/CAW, which represents approximately 45 Molson retirees in St. John's.

"The people who brought this company to where it is today, with ... sales close to 70 per cent, [which is] Molson's market share, are now being discriminated against based on their age," he said.

Pretty said the pensioners wanted a meeting with the CEO of Molson Canada to ensure that not only the beer allocations would be preserved but the rest of the negotiated benefits as well.

"We deserve better. They're nickel and diming the retirees over, you know, they're using the economic downturn to take advantage of us, said retiree Bill Bavis.

Retiree Kevin Walsh, who worked for Molson for 41 years, said the beer wasn't a hand-out to employees; it was something they earned — and are still earning.

"Like, I'm in Butterpot [provincial park], and I take my rations with me and people come along and … 'How are you today? … have a beer, have a beer.' I'm still a salesman. I'm still promoting the Molson product," he said.

A Molson representative told CBC that Molson has 2,400 retirees across the country and supplying them all with free beer was costing the company over $1 million a year.

Posted: Tue Jun 09, 2009 6:53 am
by Pub Style
When I worked for a large brewery in Halifax we were allotted 2 flats a month and it was excellent. I would take it to my mechanic, my barber, and anyone else I could barter with, and trade for discounts.

I can see why the retirees would be pissed. Even if it's Molson products, it would still suck to lose free beer for life.

Posted: Tue Jun 09, 2009 8:21 am
by Jon Walker
Well if you do the math...

In most parts of the country I'm guessing you can buy a 24 of most Molson products for $30-40. If they were getting 3 flats of 24 per month that's $90-120 cut from their benefits (assuming they'd now have to buy the beer). Whether they drank it all or used it in trade it is a real slap in the face to those folks...at least the Brewery could've phased it in for existing employees and left the retired workers to their allotment. Meanwhile that $1 Million they save by screwing their old workers will end up in some executives bonus package at the end of the year...probably the guy who came up with the plan.

Posted: Tue Jun 09, 2009 9:43 am
by Gedge
Yet another reason not to buy Molson products.

Posted: Tue Jun 09, 2009 6:16 pm
by Tapsucker
Gedge wrote:Yet another reason not to buy Molson products.
Yet another reason not to work for them! It's just a matter of time before big beer goes the same way as many other over sized industries (i.e. automakers, steel etc.) The MBAs will screw 'em up and the workers will be out a lot more than just beer.
If you can't look the management in the eye without a union rep there, you're working in the wrong place!

Posted: Tue Jun 09, 2009 10:16 pm
by dutchcanuck
I might have been willing to side with Molson if their profits were not up something crazy like 75%. But I mean they are rolling in the dough. One million dollars is a lot of money for you and I, but when you are talking about your employees and retirees I am sure it buys you a hell of a lot of good will. I guess I still believe in the outdated model of a happy employee is a good employee. Now its all about how the suits can justify their new raise or trip to the Bahamas.

Check the box beside my name for someone who will not buy Molson's prodcuts...does that mean I can't buy Creemore any more?

Still waiting for an Ontario microbrewery to supply me with my hop fix ;)

Posted: Wed Jun 10, 2009 2:23 am
by woodpecker
Tapsucker wrote: If you can't look the management in the eye without a union rep there, you're working in the wrong place!
good1!

here's an updated story on the 'net:
http://www.reuters.com/article/lifestyl ... Z520090609

"There was no consultation, we just received a letter that this is a done deal, which is totally unfair," Bill Bavis, who retired six years ago after 32 years at Molson's in St. John's, Newfoundland, told the Star. "I think with the economic downturn they're trying to take advantage of us, as a way to cut retirees' benefits and justify it."

Posted: Wed Jun 10, 2009 9:00 am
by JerCraigs
dutchcanuck wrote: but when you are talking about your employees and retirees I am sure it buys you a hell of a lot of good will. I guess I still believe in the outdated model of a happy employee is a good employee.
Also you have now just told all current employees that they can't trust you to hold up any pension/retirement promises that you make to them.

Posted: Thu Jun 11, 2009 3:01 pm
by bartle
Never take away a Newfoundlander's Black Horse or India.



What a drag when these things happen. Everyones trying to shave a buck.