Layoffs at Bud Light caused by an Influencer and the Dominance of Modelo Especial

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Anheuser-Busch, the parent company of Bud Light, announced Thursday that it would lay off around 350 employees, multiple outlets reported. The layoffs come after the company has struggled to win back customers in the fallout from an advertising campaign with a transgender influencer that sparked conservative backlash.

The company said in a statement that the layoffs would affect “less than 2%” of its more than 19,000 U.S. employees, CNN reported.

The layoffs would affect the company’s corporate staff, with the goal to “simplify and reduce layers within” the organization, the statement added.

Front line workers—including “brewery and warehouse staff, drivers, and field sales”—would not be among the layoffs, the statement said.

Anheuser-Busch CEO Brendan Whitworth said the “very difficult” decision would help ensure the company’s “future long-term success.”

Bud Light saw a precipitous drop in its sales earlier this year after its work with transgender influencer Dylan Mulvaney stirred conservative outrage.

An ensuing boycott of Bud Light dethroned the brand as the nation’s top beer seller in May.