Crown Royal Plant Closure: A Sign of Shifting Manufacturing and Political Promises
The recent closure of the Diageo Crown Royal bottling plant in Amherstburg, Ontario, has ignited a firestorm of criticism, not just towards the company, but also towards the provincial government. Workers leaving the facility on Wednesday expressed frustration over broken promises, as the plant shuttered its doors two days ahead of schedule. The situation highlights a growing tension between corporate decisions, regional economic stability, and political accountability.
The Abrupt End and Worker Disappointment
More than 200 Unifor Local 200 members found their employment abruptly terminated mid-shift on February 25th, despite a previously communicated closure date of February 27th. The union has decried the early closure as a deliberate attempt to avoid public scrutiny. Doug Benekritis, Diageo chair for Unifor Local 200, directly confronted Premier Doug Ford, stating he felt the premier had not upheld his commitment to remove Crown Royal from LCBO shelves if the plant closed.
The $23 Million Deal and Regional Disparity
The Ontario government reached a deal with Diageo to keep Crown Royal whisky on LCBO shelves in exchange for a $23 million investment. Although, the distribution of these funds has drawn criticism. A significant portion is earmarked for the Greater Toronto Area, with only approximately $1 million allocated to the Windsor-Essex region. Local officials, like Amherstburg Mayor Michael Prue, have expressed confusion regarding the specifics of the funding for their community.
Political Fallout and Broken Promises
Premier Ford defended the deal, stating he “fought like hell” for workers and that the agreement secured investment the province would not have otherwise received. However, this explanation has failed to appease some, including union representatives who accuse the Premier of failing to deliver on his initial pledge. The situation has led to expressions of disillusionment from some residents, with one former union chair stating they would “never vote Conservative again.”
The Broader Trend: Manufacturing Shifts and Political Pressure
The closure of the Amherstburg plant is part of a larger trend of manufacturing shifts, with Diageo moving production to the United States. Unifor National President Lana Payne attributed the decision to appeasing “Donald Trump,” suggesting political pressures south of the border influenced the company’s choice. This case underscores the vulnerability of Canadian manufacturing to external economic and political forces.
FAQ
Q: Why did Diageo close the Amherstburg plant?
A: Diageo announced the closure six months prior, intending to move production to the United States.
Q: What was the deal between the Ontario government and Diageo?
A: The deal ensured Crown Royal would remain on LCBO shelves in exchange for a $23 million investment in the province.
Q: How much money is going to the Amherstburg/Windsor-Essex region?
A: Approximately $1 million is allocated to the Windsor-Essex area, with $500,000 going to Invest WindsorEssex and $500,000 for other community projects.
Q: What is Unifor’s position on the closure?
A: Unifor condemns the early closure and criticizes the government’s deal with Diageo, arguing it failed to protect Canadian jobs.
Did you know? The Crown Royal plant in Amherstburg had been bottling Crown Royal since 1971 and was considered a major employer in the region.
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