Diageo to close Amherstburg plant, union 'not going down without a fight'

Diageo announced last Thursday plans to close its Amherstburg plant by Feb. 2026. Unifor Local 200, which represents 160 workers, says it plans to fight the decision and wants to schedule meetings with company executives. (Photo courtesy of Windsor Aerial Drone Photography)

A major town employer has announced it plans to  shut down operations locally.

Diageo plans to close its St. Arnaud St. facility by February 2026, making the announcement last Thursday morning. Reports say employees were called to a meeting and informed of the news. 

The union that represents the employees said they will work hard to oppose the decision and plans on meeting with company officials to keep the jobs in Amherstburg. 

At least 160 employees will be impacted. Unifor Local 200 held an emergency meeting with its Diageo membership at the Ciociaro Club Tuesday morning as this issue of the River Town Times was going to press.

Diageo’s North American press office confirmed the news in a press release.

“As part of an ongoing commitment to increase the efficiency and resiliency of its manufacturing footprint, Diageo plc (“Diageo”) has announced it will cease operations at its bottling facility in Amherstburg, Ontario by February 2026. This is one of Diageo’s facilities currently bottling Crown Royal products,” the release states.

The company adds Crown Royal will continue to be produced in Canada, “just as it has been since 1939.”

“Diageo will maintain its significant footprint across Canada, including at our Canadian headquarters and warehouse operations in the Greater Toronto Area and other bottling and distillation facilities in Gimli, Manitoba and Valleyfield, Quebec,” the release states. “This decision reflects Diageo’s efforts to continuously improve its North American supply chain and ensure the company is best positioned for long-term sustainable growth. Through this process, the company will unlock additional productivity and increase resiliency and capacity to scale, effectively meeting demand across its markets and shifting some bottling volume to be closer to its many U.S. Crown Royal consumers. These changes are consistent with the strategic priorities in Diageo’s global Accelerate program, which sets out clear cash delivery targets and a disciplined approach to operational excellence and cost efficiency for the company.”

Marsha McIntosh, Diageo’s president of North America supply, stated: “We appreciate our dedicated Amherstburg employees for their contributions to Diageo and the Crown Royal brand. This was a difficult decision, but one that is crucial to improving the efficiency and resiliency of our supply chain network. All Crown Royal will be mashed, distilled, and aged at our Canadian facilities, just as it has been for nearly a century, and will continue to be the great whisky our consumers know and love. We are committed to continuing our support for the community during this transition.”

Diageo says it will continue “to invest in Canada through its ongoing production, local operations, and contributions to local communities,” adding it has invested $150 million into the economy since 2021.

“Diageo will support impacted employees through this transition and will work alongside Unifor to provide assistance for its unionized employees,” the company added in the news release. “In the coming weeks, Diageo will be engaging with the community to find meaningful ways to provide support through this transition.”

The company has denied trade tensions played any role in the decision, calling it “inaccurate” to attribute the it to the trade environment. The company states that “we are continually reviewing our supply footprint and evaluating strategic operational changes to our manufacturing facilities to ensure we can meet consumer demand well into the future. It is not a reaction to the current trade environment.”

Unifor Local 200 president John D’Agnolo said the received word of the plant closure Thursday morning, adding they were told it was “a business decision.”

“It’s devastating to the members,” said D’Agnolo. “When you think of what’s going through their minds right now, how they are going to pay their bills and how are they going to survive. It’s shocking.”

D’Agnolo said he received the news just minutes before the River Town Times called for comment Thursday morning. There had been no warning previously, he indicated, and that company officials came to the plant, read a letter and “that was it.”

It was “disrespectful” to the employees and union officials, he stated from British Columbia, where many Unifor leaders have gathered for the union’s annual convention.

The community embraced the company and D’Agnolo said “it makes no sense” to shutter the plant. He said the union will do what it has to do and fight hard to preserve the jobs.

“We’re not going down without a fight,” said D’Agnolo. “(The plant) is a benchmark there. We’ll do what we can to keep that plant in Amherstburg.”

Unifor will try and get a meeting with the Diageo CEO and set up a meeting to discuss keeping the plant in town.

“We have to fight like hell,” said D’Agnolo. “We can’t sit still.”

D’Agnolo said he the only positive is that he has the national president, plant chair and other high ranking union officials are together at the conference and can meet and plan their way forward. He believed it was “disrespectful” to make the announcement the way the company did.

There are three shifts at the Amherstburg plant, D’Agnolo said.

“The plant has been doing great,” he said.

There are “zero details,” he added Thursday, adding the union plans to get deep into the issue and keep fighting for the plant and the jobs that come with it.

Mayor Michael Prue said it was “profoundly disappointing” news to hear, and that he first received word when members of the media started calling him. He did say he had a brief conversation with a company official after that, being told that it was “a financial decision from head office.”

“I am very disappointed,” said Prue.

Prue said there have been meetings with the company over the last several years and the town was told the plant was doing well and was up-to-date. 

“They always assured us everything was fine,” said Prue.

The call from the company official lasted about one minute, he estimated, and that he was told the company would fulfill its obligations up until the closure.

While noting he did not know for sure, Prue questioned whether the decision had to do with tariffs and ongoing trade matters with the United States.

“I don’t know that for a fact, but it seems awfully coincidental,” said Prue.

The people who work at the plant are the main priority, the mayor added, but he also wanted to know the financial impact that closing a large industrial site like that would have on Amherstburg. The 2026 budget is being prepared and Prue is calling for a projection on what that could look like.

Prue also asked the company if someone was planning on taking over the site or whether it could be sold, but was told they were not in a position to talk about it at this time.

The Amherstburg Chamber of Commerce (ACOC) issued a statement last Thursday regarding the closure announcement.

“Amherstburg is facing difficult news today with Diageo’s announcement that the Crown Royal bottling facility, our town’s largest employer, will close by February 2026. This plant has been a cornerstone of our community for many years, and its closure will affect countless families, friends, and neighbours,” ACOC president Dan Gemus stated. “To the employees and their families, please know that our thoughts are with you during this time of uncertainty. This decision is not just about jobs; it touches lives across our town.”

Gemus added: “The Amherstburg Chamber of Commerce is committed to supporting the community as we navigate this transition together. Now more than ever, we encourage residents to rally behind Amherstburg’s local businesses. From small shops and restaurants to service providers and artisans, these businesses are the backbone of our local economy. Supporting them helps keep dollars in our community, strengthens Amherstburg’s resilience, and demonstrates the power of standing together in challenging times.”

The ACOC statement concluded: “While the months ahead will not be easy, Amherstburg is a strong and united community. By leaning on each other and supporting local, we will continue to build a vibrant future for

our town.”

Diageo to close Amherstburg plant

—By Ron Giofu

(As this is a fluid situation, this story is subject to change and could be updated by the time the Sept. 3 print issue comes out. There has been one update thus far from what was originally posted, due to new information coming forward.)