Up to 100 whisky jobs are set to go after Whyte and Mackay confirmed a review of its organisation could lead to the loss of 85 jobs in Scotland and another 15 sales jobs outside the country.

The Glasgow based spirits company, which employs 574 people, has entered formal consultation for the next month to review its options and look at ways of minimising the number of compulsory redundancies.

The company has held meetings over the last week with Scottish Government ministers and officials, including the First Minister Alex Salmond. 

Opposition parties, Scottish Enterprise, Scottish Development International, and Highland and Islands Enterprise have also been briefed.

Chief Executive John Beard said: "It is with regret that I have to announce this review and the planned job losses.  It will come as no surprise to anybody that a combination of the worldwide economic situation and the punitive UK legislative climate means that only the fittest alcoholic drink companies will survive.  

"For Whyte and Mackay this means taking the painful decision to review our structures and costs.  

He added: “I can confirm that whilst this impacts all of our seven Scottish locations there will be no site closure as a consequence of this decision."

The company hopes that the decision to cut the jobs will ensure the company's future.

Enterprise Minister Jim Mather said: "The company is handling a difficult situation in a socially responsible manner, and is clear that it is not closing any of its operations around Scotland.  I welcome the fact that it remains deeply committed to its Glasgow head office, and that it has strong prospects for the future, especially as regards long-term sales growth in new markets such as India.

"Clearly, this is an anxious time for the staff affected.  However, in two meetings with us, the company has assured us that it is doing everything it can to avoid compulsory redundancies."

Whyte and Mackay was founded in Glasgow in 1844 and as well as the internationally-known blend, it also owns brands including Dalmore and Isle of Jura single malts, Glayva whisky liqueur and Vladivar vodka.

The company is currently owned by Indian businessman Vijay Mallya.

The news comes after drinks giant Diageo announced in July its plans to shut the Johnnie Walker bottling plant in Kilmarnock and the Port Dundas grain distillery in Glasgow. These closures could see 900 workers lose their jobs.