India’s homegrown beer brand, Bira 91, is facing mounting internal turmoil as employees speak out about pending salaries, unreimbursed allowances, and unresolved dues—issues that have lingered for several months following widespread layoffs and role restructuring.
Employee Grievances Pile Up
According to a report by The Times of India, several employees who resigned from Bira 91 have yet to receive their full and final settlements, even months after leaving the company. Some have been told they will receive their payments by May 31, though many remain skeptical.
Reimbursement issues have also plagued current and former employees since November 2024, particularly around travel and business expenses. In a further blow to morale, the company reportedly reassigned job roles and relocated staff across states in January 2025, with little warning or consultation.
“I was in marketing and told to move into sales in another state. This was the case for 70% of us. Those who didn’t accept were told to resign,” a former employee told TOI.
Operational Disruptions & Overextension
The internal HR crisis comes on the heels of larger operational and logistical disruptions. In 2023, Bira 91 underwent a legal name change, which necessitated product relabelling across multiple states. This led to delayed supplier payments, an inventory shortage during peak summer, and widespread supply chain challenges that extended into the critical beer-producing season.
Employees say that the issues on the ground went beyond administrative transitions. “We created demand with ATL and BTL campaigns, but there was no stock on shelves. Vendors weren’t paid, raw material didn’t arrive, and breweries stopped operating. The ₹80 crore loss blamed on labelling was just a cover,” one former staff member alleged.
Financial Setbacks Amplify Pressure
Bira 91, founded in 2015, has raised nearly USD 457 million from prominent backers including Sofina, Kirin Holdings, MUFG Bank, and Peak XV Partners. Its most recent funding round—valued at USD 25 million—closed just last year.
However, the company reported a 22% drop in revenue, falling to Rs 638 crore in FY24. Net losses widened to Rs 748 crore, attributed in part to a significant inventory write-off linked to the labelling transition. Industry experts have described the company’s challenges as the result of aggressive expansion and overextension.
Big Spend, Low Returns?
Despite its financial woes, Bira 91 maintained a high-profile marketing presence—including partnerships with IPL teams and a massive Rs 200–250 crore sponsorship deal with the ICC, which ended in 2023. Employees say this high marketing spend didn’t translate into real-time execution, due to internal dysfunction.
