Roughly 9,000 workers at the Liquor Control Board of Ontario (LCBO) represented by the Ontario Public Services Employee Union (OPSEU) began their first-ever strike on Friday, July 5 after months of unsuccessful negotiations between their union and management. Picketing has been happening at locations across the province and a large rally was held in downtown Toronto on Saturday, July 6.
Why this strike matters
This is a fight for good public services and decent work in the province.
One of the central points of bargaining is the fact that over 70 percent of LCBO employees are casual. That means they have no guaranteed hours, benefits or access to permanent part-time or full-time jobs. When workers can’t make a decent living, our communities suffer.
Also at issue is the creeping privatization of alcohol sales by the Ford government. JP Hornick, OPSEU president, said workers are “drawing a line in the sand” around the privatization and casualization of alcohol.
LCBO workers are worried about job losses, lost public revenue and declining public health that will come with Ford’s obvious plans to increase private control and profit from alcohol sales. Ford recently announced that his government will give $225 million to the multinational owners of the Beer Store to allow “early implementation” of expanded liquor sales. The full details of the plan include giving private-sector retailers a wholesale discount of 10 percent off the LCBO’s basic retail price, giving brewers a full rebate of the LCBO service fees on wholesale beer sales, and giving over 8,000 grocery and convenience stores the right to sell beer, wine, cider and other beverages at lower prices than the LCBO.
Official figures from the Ministry of Finance and the LCBO show the province will face a net revenue loss of $150 to $200 million per year as a result of the changes. Combined with the Beer Store payment, the Ford government is giving away over $400 million to private retailers.
The LCBO brings in $2.5 billion in profit each year, which goes to fund healthcare, education and other vital public services. Ford seems determined to give that away, enriching retailers like Galen Weston while underfunding our public services. Ford’s plans for the LCBO put good jobs and public services at risk. This makes the LCBO workers’ fight against privatization a fight for all of us.
Strikebreaking
Ford has been doing his best to undermine the strike. On Monday, he unveiled a new searchable online map showing where to buy alcoholic beverages. Ford emphasized how the map supported his government’s “plan to offer consumers the kind of choice and convenience available to other Canadians when purchasing alcoholic beverages, starting later this summer.”
The creeping privatization of some of the back end of LCBO operations (such as warehousing and distribution) have already been used to weaken the strike’s impact. The LCBO announced that it will open five retail stores for restaurant and bar owners (who have been relying on stockpiles) to shop in-person by appointment on July 10.
What privatization means
LCBO workers are clear on the dangers of privatization; increased liquor sales to minors, greater likelihood of dangerous interactions with customers, less money for already underfunded public services, decreased choice and selection of brands, and more money to the richest grocery monopolies in the country. We know what the grocery retailers did with bread prices. What do you think they will do when they control alcohol in the province?
The tough part is that Ford has helped manufacture this chaos in the province’s alcohol market and he is banking on it helping him push his agenda even further. To stand up to him, we need to unite behind the LCBO workers to support their fight and defend public services in Ontario. Find a picket near you, support the workers and talk to those you know about why public control of alcohol and decent jobs for those who sell it are important. Connect with your union and labour council to see how you can show solidarity and find out more how you can support with the Justice For Workers’ Solidarity Toolkit.
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