Modesto-based Gallo cuts 20 jobs in Lodi. It still employs about 7,000 worldwide
Twenty people were laid off at a Lodi site for E.&J. Gallo Winery in another adjustment to market conditions. The Modesto-based company continues to employ about 7,000 people in all, and it has openings.
The layoffs were in a portion of the grape crush and initial winemaking at the Turner Road plant. They first were reported by winebusiness.com, based in Napa.
“This decision reflects available capacity in our other wineries in the region,” Gallo said in a prepared statement. “Impacted employees have been personally notified and are receiving individualized transition support, including the opportunity to explore other roles within the organization.”
Gallo had 43 open jobs in California on its website as of Friday. They include wine production, sales, maintenance, finance and other tasks.
The industry has faced lagging demand, especially from younger consumers. The Wine Institute reported a total of 424,032 vineyard acres in California last year, vs. the 2013 peak of 469,790 acres.
The biggest blow in Stanislaus County was last year’s loss off 227 of the 750 jobs at Bronco Wine Co. It has a headquarters winery south of Ceres and other plants in San Joaquin, Madera and Napa counties.
In February, Gallo laid off 93 people at five sites in Napa and Sonoma counties. Last July, 47 lost their jobs with the closure of Courtside Cellars in San Luis Obispo County.
The Lodi plant was part of Gallo’s largest acquisition ever, a $1.1 billion deal with Constellation Brands in 2019. The Modesto company also got its second winery in Washington state and its first presence in New York state.
Gallo produces wine in several coastal and interior regions of California, and imports products from various nations. It makes or distributes several types of hard liquor, most recently adding Four Roses Bourbon in Kentucky.