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Modesto-based Gallo lays off 93 in North Bay. San Joaquin Valley is not affected

Layoff notices

E.&J. Gallo Winery is laying off 93 people at operations in Napa and Sonoma counties, according to filings with a state agency.

The move does not involve the company’s Modesto headquarters or other sites in the San Joaquin Valley or beyond. Gallo employs about 7,000 people around the world.

“These changes are driven by market dynamics, evolving consumer demand and available capacity across our wineries,” the company told The Modesto Bee by email Wednesday. It added that some of the affected workers could apply for open jobs elsewhere at Gallo.

The San Francisco Chronicle reported on the layoffs, based on notices under the Worker Adjustment and Retraining Notice law.

Gallo is shutting down its Ranch Winery in St. Helena, where 56 people worked. It is reducing the staff at two other sites in that town: Louis M. Martini Winery and Orin Swift Cellars. It is doing the same at J Vineyards and Frei Ranch, both in Healdsburg.

Gallo is the world’s largest wine producer and also makes or distributes several types of hard liquor. It mainly used San Joaquin Valley grapes upon its 1933 founding and moved into Napa and other premium regions in the 1980s.

The industry has been dealing with declining consumption, especially among younger adults, and an oversupply of grapes. The biggest hit so far was early last year, when Bronco Wine Co. laid off 227 of its 750 or so employees in Stanislaus and other counties.

Gallo said Wednesday that it “is aligning parts of our operations with our long‑term business strategy to ensure we remain well‑positioned for future success. As part of this process, we made the difficult decision to reduce certain Wine Country operations.”

This story was originally published February 18, 2026 at 6:51 PM with the headline "Modesto-based Gallo lays off 93 in North Bay. San Joaquin Valley is not affected."

John Holland
The Modesto Bee
John Holland covers agriculture, transportation and general assignment news. He has been with The Modesto Bee since 2000 and previously worked at newspapers in Sonora and Visalia. He was born and raised in San Francisco and has a journalism degree from UC Berkeley.
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