Quebec liquor stores near the Ontario border are experiencing a significant increase in sales due to a strike by workers at the Liquor Control Board of Ontario (LCBO). This unexpected surge highlights the broader impact of labor disputes on regional markets and the adaptive measures taken by businesses to meet heightened demand.
Increased Customer Traffic
Société des alcools du Québec (SAQ) spokeswoman Linda Bouchard reported a noticeable rise in customer traffic at 20 to 25 outlets located near the Ontario border. “Spirits and ready-to-drink products are particularly popular,” Bouchard stated, noting that shelves are emptying quickly as a result.
Sales Surge
While the SAQ has not yet calculated the exact increase in sales due to the strike, efforts are being made to ensure that operations are adjusted to adequately supply these branches. The focus has been on maintaining stock levels to meet the increased demand from Ontario residents crossing the border to purchase alcohol.
Background of the Strike
Approximately 10,000 LCBO workers, represented by the Ontario Public Service Employees Union, walked off the job on July 5 after negotiations with the provincial government broke down. The primary issue in the dispute is Ontario’s plan to expand alcohol sales, including ready-to-drink cocktails, beyond LCBO stores.
Government Response
In response to the strike, Ontario Premier Doug Ford’s government has accelerated its plan to expand alcohol sales. Finance Minister Peter Bethlenfalvy announced that grocery stores already licensed to sell beer and wine can begin ordering pre-mixed cocktails and large packs of beer starting Thursday, ahead of the previously planned August 1 date.
Effect on Local Industries
The LCBO strike has raised concerns among various industries, from tourism operators to wedding venues, about the disruption in alcohol supply. These businesses rely on a steady flow of alcoholic beverages for their operations and events, and the strike has created challenges in maintaining that supply.
Revenue Bump for SAQ
While the SAQ is benefiting from increased sales due to the strike, the corporation is also dealing with its own labor issues. In April, around 5,000 SAQ workers walked off the job for two days as part of a 15-day strike mandate. Ongoing negotiations have shown progress, particularly in scheduling for part-time workers.
Support from Quebec Workers
The union representing SAQ workers has expressed solidarity with their Ontario counterparts. Last week, they issued a statement supporting the LCBO workers and indicated that discussions were underway to develop an “inter-union alliance.” This potential alliance aims to strengthen the bargaining power of both groups in their respective negotiations.
Strategic Collaboration
Such collaboration between unions across provincial borders could have significant implications for future labor negotiations in the retail and service sectors. By working together, unions can apply greater pressure on employers to address their concerns and demands.
The LCBO strike in Ontario has had a ripple effect on neighboring Quebec, with SAQ stores near the border experiencing a surge in sales. This situation underscores the interconnectedness of regional markets and the broader economic impact of labor disputes. As the strike continues, both businesses and unions are adapting to the evolving landscape, highlighting the dynamic nature of the retail industry.
