Wine distribution company laying off over 1,750 employees and exiting California

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CALIFORNIA – Republic National Distributing Company (RNDC) notified the California Employment Development Department (EDD) that it would be laying off 1,756 employees effective September 1.

The company is also ceasing operations in California.

RNDC is the nation’s second largest alcohol wholesaler, serving a wide network of retailers and businesses across the state.

The layoffs include positions ranging from warehouse drivers to vice president, affecting sales, HR, and business analysis departments.

Locations across California affected by RNDC’s layoffs are:

  • 30825 Wiegman Road, Hayward (104 employees)
  • 5100 Franklin Drive, Pleasanton (206 employees)
  • 2425 Saybrook Avenue, Los Angeles (176 employees)
  • 14352 Franklin Ave, Tustin (79 employees)
  • 14402 Franklin Ave, Tustin (561 employees)
  • 6711 Bickmore Ave, Chino (238 employees)
  • 3602 Kurtz Street, San Diego (80 employees)
  • 850 Jarvis Dr, Morgan Hill (156 employees)
  • 3620 Industrial Blvd., West Sacramento  (136 employees)

The company provided a Worker Adjustment Retraining Notification (WARN) to EDD, which requires employers to give 60 days’ notice before a mass layoff, plant closure, or relocation.

Rising operational costs, industry headwinds and supplier changes made market unsustainable

RNDC interim CEO Bob Hendrickson said at a June 2nd company town hall meeting that it has made the difficult business decision to withdraw from California.

The decision to exit California follows shifts in RNDC’s supplier relationships, including the recent loss of two major brands – Tito’s Handmade Vodka and Brown-Forman (maker of Jack Daniel’s and other top selling spirits, to Reyes Beverage Company.

These departures dealt a major blow to RNDC’s California operations. 

As the largest state economy and one of the top markets for distilled spirits in the U.S., California plays a critical role in national distribution strategies.

Hendrickson cited “rising operational costs, industry headwinds and supplier changes that made the market unsustainable,” and not any lack of performance by the California team.

RELATED: California-based apparel company buys $17.08 Million building in Phoenix to relocate headquarters

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