Alcohol Distributor Warns of Nearly 2,800 Potential Layoffs Less Than a Year After Laying Off 1,700 Employees

Beaujolais white and red during the Sarmentelles festival in Beaujeu for the release of Beaujolais Nouveau wine on Nov. 19, 2025. (Photo: Sipa via AP Images)

One of the largest alcohol distributors in the U.S. has issued warnings that could impact thousands of workers as a major industry deal moves closer to completion.

Republic National Distributing Company has filed conditional Worker Adjustment And Retraining notices affecting 2,774 employees across multiple states, tied to its pending transaction with Reyes Beverage Group, which will see Reyes take over operations in states including Arizona, Colorado, Florida, Texas and Virginia.

Many affected employees may transition to Reyes or remain with RNDC.

The notices, filed April 23, are part of the company’s restructuring process and do not necessarily represent final job losses. RNDC said many employees could transition to Reyes or remain in roles depending on how the deal is finalized.

RNDC withdrew from California in 2025 — resulting in layoffs of more than 1,700 layoffs — and sold off 12 of its markets to Reyes Beverage Group earlier this year. In March, Shanken News Daily reported RNDC was planning to pass on the majority of its operations to various competitors including Martignetti Companies and Columbia Distributing.

The filings span at least six states, with the largest concentrations in Florida, including Tampa (393), Deerfield Beach (363), Jacksonville (169) and Pensacola (121).

Additional warnings include:

• Virginia: 428 workers tied to a facility closure in Ashland
• South Carolina: 451 workers affected in West Columbia
• Colorado: 320 workers in Littleton
• Arizona: 211 workers in Phoenix
• Maryland: 318 workers in Jessup

Most layoffs, if finalized, are expected around late June. RNDC said the transaction with Reyes could close as early as the end of May, pending regulatory approval.

RNDC said the notices are intended to comply with federal requirements under the Worker Adjustment and Retraining Notification Act and to give employees advance notice during the transition.

Distributors: A Key Layer of the 3-Tier System

Distributors like RNDC operate in the middle tier of the U.S. alcohol system, connecting producers with retailers such as liquor stores, bars and restaurants.

That role makes consolidation especially disruptive. When a distributor restructures or exits markets, it can affect not just employees but also suppliers that rely on established logistics and sales networks.

RNDC’s exit from California last year marked a major turning point, as several large producers shifted business to competitors, including Reyes.