Striking LCBO workers must return to reality

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In the days leading up to the LCBO strike, which began on Friday, sales at stores reached enormous proportions.

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Summer is typically a busy time for Ontario’s government-run liquor stores, but on an average weekday in early July, sales at Christmas levels are not normal.

Such sales figures flowed into the coffers in the days leading up to the strike. Meanwhile, online sales continued to be above normal levels on Saturday, and the LCBO website warned of high turnover and delayed delivery times.

For the average consumer, this strike will not have much of an impact in the short term. Given that people have been stocking up on supplies, the availability of alcohol at The Beer Store, The Wine Rack, and purchases from local beer, wine, and spirits producers, it could be a while before the average person notices anything.

The same cannot be said of the bar and restaurant industry, which is obviously concerned about the satisfaction of its customers.

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Many operators stocked up on extra supplies ahead of the strike, but space for additional supplies is limited. The LCBO has tried to reassure the restaurant industry that there will be access to supplies including delivery or pickup options, but the industry is skeptical.

The LCBO has never had a strike. They have never had to develop a plan for such disruptions, let alone implement one.

Prior to the strike, the LCBO stocked up on its own supplies to ensure additional deliveries of its 128 most popular products. They are also working to ensure that wholesale customers, such as those in the food service industry, only see products that are in stock on the website.

One industry executive said supplies of the most popular products should be good in the near future, but lesser-known products could be a problem. That could mean that while your favorite whiskey, gin, vodka or tequila will still be in stock, you could run out of additional ingredients for a lesser-known cocktail.

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The union says it is not fighting against expanding beer and wine sales in grocery or convenience stores. Union president JP Hornick acknowledged that Premier Doug Ford ran in two elections and won on that front.

The key point of the fusion is the inclusion of ready-made products. These would be cocktails in a can, a Caesar in a can or seltzers such as White Claw, Neutrl or Vizzy, which are becoming increasingly popular.

The striking OPSEU members were convinced by their union bosses that selling the spirit versions of these drinks anywhere they are not allowed to be sold in the LCBO would result in the loss of thousands of jobs.

The fact is that Ontario has been expanding alcohol sales in the province for years, and the LCBO and the revenue it brings to the government have only grown.

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In 2016-17, the first year of the former Kathleen Wynne government’s full expansion into grocery retail, the dividend payment to Ontario’s treasury was $1.98 billion. Last year, the amount was $2.58 billion, which is not only a higher sum but also exceeds the rate of inflation, according to the Bank of Canada’s inflation calculator.

The increase in alcohol sales has not hurt the LCBO.

What will hurt the LCBO is a prolonged strike by the union aimed at forcing the Ford government to change its policy of expanding alcohol sales. There is no doubt that the union leadership, especially Hornick, is philosophically opposed to the Ford government.

Hornick has a socialist vision of how the province should be run, but most people in Ontario do not share that vision. So when voters were presented with three parties with varying degrees of socialism, they chose Ford’s PCs.

The same thing would happen if elections were held today.

The LCBO workers currently on strike were told they were striking to defend their jobs, but in fact they may be hastening their demise.

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