Wine makers are pulling the cork on California.
Another giant in the world-famous wine growing region is shutting down and slashing staff, making it the fourth since the start of 2026.
Jackson Family wines has stopped production at its Carneros Hill facility in Sonoma’s Carneros region, laying off more than a dozen employees, according to a Worker Adjustment and Retraining Notice filed with California authorities on February 12.
Communications director Sean Carrol told the SF Chronicle that Carnero’s Hill – previously owned by Buena Vista Winery – “served as overflow production capacity and was not tied to any specific brand.”
He added the site had “become underutilized,” allowing the company to consolidate.
Jackson Family Wines is known as one of the top US wine producers, the sixth largest wine company in the country.
It owns the Kendall-Jackson label and about 40 other brands, producing around six million cases a year, according to an industry review. More than 25 of those wineries are in the Golden State.
Last week, major winemaker Gallo announced the closure of a large production facility and the elimination of nearly 100 jobs across the wine growing region of Napa and Sonoma counties.
Considered the world’s largest winemaker by volume, Gallo filed a “warning” notice with the California Employment Development Department on Feb. 12, confirming it will permanently pull the cork on the Ranch Winery in St. Helena.
Gallo is also slashing staff at some of its other labels, including the Louis M. Martini Winery and the Orin Swift Tasting Room in St. Helena, as well as J Vineyards and Frei Ranch in Healdsburg.
“Gallo is aligning parts of our operations with our long‑term business strategy to ensure we remain well‑positioned for future success,” a spokesperson for the company told The Post.
“As part of this process, we made the difficult decision to reduce certain Wine Country operations. These changes are driven by market dynamics, evolving consumer demand, and available capacity across our wineries.”
Earlier this month, Foley Family Wines & Spirits shut down its production facility for the historic Central Coast winery Chalone.
In January, Constellation Brands notified more than 200 people at the Mission Bell Winery in Madera that they would be out of work. And Jean-Charles Boisset Collection closed two Napa Valley tasting rooms.
According to a recent report from Wine Business Monthly, there were 4,727 wineries in California in 2025. As of February 2026, there are 4,646.
The number of American adults who say they consume alcohol has fallen to 54%, according to an August 2025 Gallup poll.
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