Gallo Winery Lays Off 93 Workers in North Bay

Layoffs come amid sluggish demand and oversupply of wine grapes in California

Published on Feb. 23, 2026

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E.&J. Gallo Winery, the world's largest wine producer, is laying off 93 employees at its operations in Napa and Sonoma counties in California. The layoffs are driven by market dynamics, evolving consumer demand, and available capacity across Gallo's wineries, according to the company.

Why it matters

The layoffs at Gallo's North Bay facilities highlight the challenges facing the wine industry, including declining consumption, especially among younger adults, and an oversupply of grapes. This comes after Bronco Wine Co. laid off 227 employees last year, signaling broader industry struggles.

The details

Gallo is shutting down its Ranch Winery in St. Helena, where 56 people worked. It is also reducing staff at two other sites in St. Helena: Louis M. Martini Winery and Orin Swift Cellars. The company is doing the same at J Vineyards and Frei Ranch, both in Healdsburg. The layoffs do not affect Gallo's Modesto headquarters or other sites in the San Joaquin Valley.

  • The layoffs were announced on February 19, 2026.
  • Gallo laid off 227 employees at its Bronco Wine Co. facilities in Stanislaus and other counties in early 2025.

The players

E.&J. Gallo Winery

The world's largest wine producer, founded in 1933 and based in Modesto, California.

Bronco Wine Co.

A California-based wine company that laid off 227 employees in 2025 amid industry challenges.

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The takeaway

The layoffs at Gallo's North Bay facilities reflect the broader challenges facing the wine industry, including declining consumption and an oversupply of grapes. This follows similar layoffs at other major wine producers, suggesting the need for the industry to adapt to changing market conditions.