Crown Royal Dispute: Ford Offers ‘Olive Branch’ Amidst LCBO Threat

For the second time in as many days, Ontario Premier Doug Ford has indicated a willingness to step back from his threat to remove Crown Royal from the LCBO, but only if Diageo, the international alcohol maker, offers concessions. This comes after months of escalating tension over the closure of a Crown Royal bottling facility in Amherstburg, Ontario.

An ‘Olive Branch’ for Job Creation

On Wednesday, Ford presented Diageo with an “olive branch,” requesting a plan to replace the 160 jobs lost due to the Amherstburg facility closure. He stated he’s open to discussion if Diageo can demonstrate a commitment to manufacturing, packaging, advertising, or other activities within Ontario. “If Diageo comes and says, I’m going to replace these workers…and they can show me on paper, then we’ll sit down, and I’ll be open,” Ford explained. He characterized himself as “pretty easygoing” in the negotiation.

The Root of the Dispute

The conflict began in the fall when Diageo announced the closure of the Amherstburg plant, relocating operations to the United States. While facilities in Gimli, Manitoba, and Valleyfield, Quebec, will remain open, Ford has consistently threatened to retaliate by removing Crown Royal from LCBO shelves if Diageo didn’t reconsider. In January, he even advised consumers to “stock up,” expressing “100 per cent” certainty in his decision.

Criticism and Pushback

Ford’s hardline stance has drawn criticism from various sources, including consumer advocacy groups who accuse him of “weaponizing” the LCBO, federal Conservative MPPs, Manitoba Premier Wab Kinew, and Quebec’s finance minister, who warned of potential harm to Canadian workers in their provinces. This pressure appears to be influencing a shift in Ford’s approach.

A More Flexible Position

Ford has recently adopted a more flexible tone, acknowledging the impact of job losses and emphasizing his responsibility to protect Ontario’s workforce. “Sometimes, does it get nasty when they take jobs away? One hundred per cent,” he said. “It does, because I’m responsible at the end of the day.”

What’s Next for Crown Royal?

The outcome remains uncertain. Diageo has already reached a closure agreement with the local union, providing enhanced benefits to departing workers. The Amherstburg property is currently for sale. However, Diageo maintains a “significant footprint” in Canada, employing over 500 people, including more than 100 in Ontario (excluding those at the Amherstburg site), and operates facilities in Manitoba and Quebec. The company has not yet responded to requests for a job replacement strategy.

Ford remains concerned that Diageo may eventually close plants in Manitoba and Quebec, fueling his desire to hold the company accountable. If the threat to remove Crown Royal is carried out, he suggests consumers support other Ontario-based whisky manufacturers.

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Source: Global News