The controversial boss of Scottish beer giant Brewdog, James Watt, is to step down from his role as CEO of the company.
Watt said he would move to the newly-created, non-executive position of “captain and co-founder” and retain his 21% shares in the company.
His role will be taken over by chief operating officer James Arrow.
Watt co-founded the Scottish brewery and pub group in Fraserburgh, Aberdeenshire, where it is still headquartered, in 2007 alongside Martin Dickie.
In a statement Watt said: “During my time at the helm of BrewDog, there have been highs and lows, up and downs, crazy successes and incredibly hard challenges.
“When I look back on the last 17 years my overwhelming feeling is one of gratitude.”
Last year, the firm expanded into the Chinese market in a joint venture with brewing giant Budweiser. Its revenue grew to £321.2m in the 2022-23 financial year.
Watt’s tenure has been packed with incident, and at times a PR’s nightmare, with the company facing criticism for its frequently provocative (and sometimes misleading) marketing campaigns and a “toxic” workplace culture that appeared out of kilter with the company’s hipster image.
The firm was accused by former workers in an open letter in 2021 of having a “culture of fear” within the business, particularly among junior staff. In 2022 several ex-Brewdog workers accused Watt of inappropriate behaviour in a BBC Disclosure investigation.
Lawyers for Watt said the allegations were false. Ofcom rejected complaints that Brewdog and Mr Watt were unfairly treated by the programme.
In January, Brewdog also faced a backlash after revealing it would no longer hire new staff on the real living wage, instead paying the lower legal minimum wage.
BrewDog chairman Allan Leighton said he was pleased Watt would not be leaving the company completely: “I am especially pleased he will continue to offer his insight, creative genius and energy to the board.”
Watt’s replacement was hired as chief operating officer last September and was previously managing director of Boots Opticians. Prior to that he spent a decade at Dixons Carphone, where he held senior roles across ecommerce, trading, operations, sales and transformation.
