ETHIOPIA – BGI Ethiopia, one of the country’s largest brewing companies, is facing a significant hurdle in its planned relocation from its 30,000 square meter facility in Mexico Square to a new location in Meta Abo.
Employees at the existing facility have staged a strike, voicing concerns about their job security during the transition, news agency Addis Fortune has reported.
The primary concern for workers stems from the company’s counteroffer of only 20 months of employment guarantee, falling far short of the 100 months they requested. This disparity, coupled with the uncertainty surrounding potential layoffs, has led employees, some with over 20 years of service, to take action.
The strike prompted an emergency meeting at BGI headquarters, where Andualem Woldemariam, St. George Trade Union chairperson, emphasized the need for employee inclusion in any decision impacting their livelihood.
He stated, “We’re being left out of decisions. We should know how many workers are about to be laid off.”
BGI Ethiopia’s motivation for the relocation is multifaceted. The company seeks to address increasing water demand, improve logistics, and comply with revised regulations in Addis Ababa that restrict large factories from operating in urban centers.
However, this strategic move has encountered significant resistance, highlighting the human cost associated with corporate decisions.
With approximately 30 years of operation, BGI Ethiopia owns six breweries across the country, including the iconic St. George Brewery in Addis Ababa.
The company boasts a competitive portfolio of brands like Meta, Dashen, Raya, and St. George beer. However, it faces stiff competition in the market, recently losing market share to its rivals.
Currently, BGI Ethiopia’s production capacity exceeds 4.3 million hectoliters annually, trailing behind Heineken’s 5.6 million hectoliters.
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