James Watt, the CEO of Scottish brewing giant BrewDog, has announced he will step down from his position.
He will transition to a newly-created role of “captain and co-founder” while retaining his shares in the company. Chief Operating Officer James Arrow will assume the role of CEO.
Watt co-founded BrewDog in 2007 with Martin Dickie in Fraserburgh, Aberdeenshire. Reflecting on his tenure, Watt stated, “During my time at the helm of BrewDog, there have been highs and lows, ups and downs, crazy successes and incredibly hard challenges. When I look back on the last 17 years my overwhelming feeling is one of gratitude.”
BrewDog, which has expanded its presence globally with breweries and pubs, maintains its headquarters in Ellon, Aberdeenshire. Despite its growth, the company has faced numerous controversies, particularly concerning its marketing strategies and workplace culture.
In 2021, former employees criticized BrewDog in an open letter, describing a “culture of fear” and “toxic attitudes” towards junior staff. Additionally, a BBC Disclosure investigation in 2022 featured allegations of inappropriate behavior against Watt, which he and his legal team have denied.
Ofcom dismissed complaints that BrewDog and Watt were unfairly treated by the investigation.
In a recent move that attracted backlash, BrewDog announced it would no longer pay new staff the real living wage, opting instead for the lower legal minimum wage. This decision was met with criticism from various quarters.
Despite these challenges, BrewDog has continued to expand, notably entering the Chinese market through a joint venture with Budweiser. The company’s revenue for the 2022-23 financial year grew to £321.2 million.
Allan Leighton, the company’s chairman, praised Watt’s contributions, stating, “I am especially pleased he will continue to offer his insight, creative genius and energy to the board.” Arrow, who was hired as COO last September, was brought on board with succession planning in mind, preparing for Watt’s eventual transition.
This leadership change marks a significant shift for BrewDog as it navigates both its internal challenges and its ambitious expansion plans. The brewing industry will undoubtedly watch closely to see how this new chapter unfolds for one of Scotland’s most renowned breweries.