B.C. Liquor Stores Reopen After Historic Strike, Supply Issues Loom

B.C.’s government liquor stores reopened on October 16, 2023, following a tentative agreement between the B.C. General Employees’ Union and the provincial government. This development comes after an eight-week strike, the longest public service strike in British Columbia’s history. While the stores are back in operation, significant challenges remain as the system works to clear a substantial supply backlog.

At 198 government liquor stores and 40 cannabis stores, customers returned in droves on Monday morning. Many were eager to stock up on supplies, with one shopper humorously noting his basket was filled with gin and vodka. To manage the limited inventory, the B.C. Liquor Distribution Branch implemented a restriction, allowing each customer to purchase a maximum of six items of each product daily.

Ian Tostenson, CEO of the B.C. Restaurant and Foodservices Association, expressed relief at the reopening, describing the union’s agreement as “Christmas in October.” However, he cautioned that the resupply process would be challenging. With approximately 8,000 restaurants and bars, along with 600 private liquor stores, there is a pressing need to replenish stock. “You can do the math. It’s a massive resupply issue,” Tostenson remarked.

The urgency to restock is heightened by the upcoming holiday season. Tostenson noted that restaurant workers were already busy purchasing supplies at the government liquor store on 39th Avenue and Cambie Street. He suggested that the liquor distribution branch would prioritize top-selling products to expedite the restocking of spirits, which have faced severe shortages.

Reflecting on previous strikes, Tostenson recalled that a similar situation in 2022, which lasted for only two and a half weeks, took three months to fully resolve. The current strike, lasting nearly nine weeks, poses a greater challenge. He estimated that around 8,000 orders were expected to flood into distribution warehouses on the first two days of reopening, indicating a substantial backlog.

The recovery timeline could stretch from a couple of months to as long as six months, depending on various factors, including the high demand anticipated during the holiday season and the upcoming FIFA tournament in June 2024. Tostenson remains hopeful, stating, “I sense that everybody — the BCGEU, the LDB, the industry — is on the same page to fix it.”

At Brewery Creek, a private liquor store in Vancouver’s Mount Pleasant neighbourhood, Peter Gordon, the general manager, welcomed the end of the strike but acknowledged that significant work lay ahead. “That’s just the end of one chapter for this whole thing,” he said. Gordon reported that the store’s inventory had dwindled to about one percent of its usual stock during the strike, relying heavily on local B.C. craft breweries, distilleries, and wineries, which are permitted to sell directly to private stores.

When asked for a timeline on when Brewery Creek might be fully restocked, Gordon expressed cautious optimism, suggesting a timeframe of six to eight weeks but realistically predicting it could take two to three months. As of Monday morning, he faced difficulties placing online orders with the distribution branch, as the backlog created by the strike complicated the fulfillment of existing orders.

The B.C. Liquor Distribution Branch acknowledged the challenges in resuming operations, stating that it will work closely with customers to develop restart plans. In a statement, the branch expressed appreciation for the patience and understanding of its customers as it navigates the complexities of restoring service levels to normal.

As the tentative agreement is yet to be ratified by union members, the focus now shifts to ensuring that the supply chain can effectively recover from the disruption caused by the strike. The road ahead is marked by uncertainty, but with a collective effort, B.C.’s liquor supply system may soon find its balance again.