LVMH’s Champagne division employees mobilise against the scrapping of bonuses

According to the CGT Champagne inter-union, employees in LVMH’s Champagne division in France are mobilising against the scrapping of a profit-sharing bonus “which has existed since 1967.”

“The mobilisation is due to the withdrawal this year of profit-sharing at Moët & Chandon. It has been in place since 1967, and this is a first. Employees have also been informed of the cancellation of the value-sharing bonus, on the grounds that the group generated slightly lower profits,” stated José Blanco, basic secretary of the CGT Champagne inter-union, to AFP on Friday.

Following strikes on December 5 and eight, a rally was held on Thursday outdoors Moët & Chandon’s head workplace.

“This strike took place on Thursday in Épernay, outside Moët & Chandon’s head office, with all the group’s Champagne houses: Veuve Clicquot, Krug, Moët & Chandon… and support from other Champagne houses. Around 600 people were present,” stated Blanco.

“Originally, it wasn’t supposed to be a demonstration, but an information meeting organised within Moët & Chandon. In the end, the employees gathered on Avenue de Champagne and blocked it,” defined Mr Blanco.

Further actions are being thought-about, however no date has but been set. Contacted by AFP, LVMH didn’t remark.

LVMH’s Wines & Spirits division, which incorporates Champagnes (Moët & Chandon, Krug, Ruinart…) in addition to wines (Château Cheval Blanc, Château d’Yquem, Château d’Esclans…), and Hennessy cognac and Glenmorangie whisky, noticed a pointy decline in 2024, with income down 11% year-on-year to €5.9 billion.

Over the first 9 months of 2025, the division’s income fell an additional 7%, notably because of customs duties. However, the group estimated that gross sales returned to development (at fixed trade charges) in the third quarter, “with an improvement in Champagne, good growth in rosé wines and still weak demand in cognac.”

According to HSBC analysts, Champagne and wine gross sales accounted for 4% of LVMH’s €84.7 billion income in 2024, and cognac and spirits gross sales for 3%. The financial institution forecasts an 11% drop in Champagne and wine gross sales in the fourth quarter of 2025.

The division, which introduced in the spring plans to cut back its workforce, has been headed since February by the group’s former chief monetary officer, Jean-Jacques Guiony, assisted by Alexandre Arnault, son of billionaire and LVMH CEO Bernard Arnault.