Modesto-based Gallo Winery outsources hundreds of distribution jobs to Texas company
E.&J. Gallo Winery has filed layoff notices for about 290 distribution employees in California, but most were expected to land jobs with a contractor.
The move followed the Modesto-based winery’s Jan. 10 agreement with Republic National Distribution Co. to handle products sold through retail chains in the state. The Texas-based company has distributed other Gallo wines around the nation since 2021.
The layoff notices include 23 in Modesto, 93 in Hayward and others at five distribution sites. They will take effect March 12. The sites have operated under the Gallo Sales Co. name.
“We are optimistic that most of our employees at Gallo Sales Co. will be offered positions with RNDC,” spokeswoman Krista Noonan said by email Monday. She added that the parent winery also is hiring for various jobs.
Gallo is the world’s largest wine producer, employing more than 7,000 people in production, marketing, glass-making and other tasks. They work in the San Joaquin Valley and several other California wine regions; in the states of Washington, New York and South Carolina; and in several foreign nations. Gallo also has several liquor brands.
The layoff notices were required to be filed with the California Employment Development Department.
RNDC is based in Grand Prairie, Texas. It distributes wine and liquor in 38 states and the District of Columbia, including Manteca-based Delicato Family Wines.
“We are thrilled to be Gallo’s distributor in California,” said Bob Hendrickson, chief operating officer at RNDC, in a news release. “Our successful partnership and route to market capabilities have been key in making this next phase of our relationship happen.”
A spokesperson at RNDC could not be reached for details Monday on how many Gallo workers would be hired, and in what cities.
