Stone Brewing, which resisted cutting payroll early in the COVID-19 shutdown, laid off roughly 30 percent of its work force this week, with job losses concentrated at its Bistro pubs, Tap Rooms and distribution sales force.

The company declined to disclose how many workers lost their jobs, but the Union-Tribune confirmed through official sources on Thursday that 306 employees were let go in San Diego County.

The job cuts at the region’s largest craft beer maker highlight how layoffs continue locally, even with some expected relief on the way from a $2 trillion federal stimulus package that encourages employers to keep workers on their payrolls during social distancing.

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From Jan. 1 through March 10, just 538 San Diego workers were laid off based on California Worker Adjustment and Retraining Notification Act (WARN) filings with state and local employment agencies.

Since then, 33,177 workers countywide have lost their jobs based on WARN notices sent by employers to the San Diego Workforce Partnership, which provides local employment services.

This spike on WARN notices has been concentrated in hotels, restaurants/bars, recreation and retail industries, and they probably under count actual job losses.

That’s because California’s WARN Act applies to companies with 75 or more full- and part-time workers. Struggling businesses with fewer employees don’t have to file.


In addition, Gov. Gavin Newsom on March 4 suspended requirements that employers submit WARN notices 60 days in advance of layoffs. That appears to have resulted in a backlog of recent WARN filings that have yet to be processed by state and local employment officials.

Founded in 1996, Stone Brewing is a leading craft brewer nationally. It produced roughly 780,000 kegs in 2019 and employed 1,100 workers prior to the recent layoffs, according to its Web site.

In an email, Chief Executive Dominic Engels said the company let go a majority of its Bistro restaurant and Tap Room employees, keeping only small crews for delivery and curbside pick-up.

Stone Brewing operates World Bistros & Gardens in Escondido and Liberty Station. It has smaller Tap Rooms in Richmond, VA., as well as Pasadena, Oceanside, San Diego’s Little Italy, downtown and other sites.


Stone Brewing also laid off some sales reps from its distribution division who called on bars and restaurants, said Engels.

The company managed to keep a majority of its bar and restaurant sales force, however, by shifting workers over to the sales group that works with grocery stores “to help with the high demand in the grocery channel,” he said.

During the first few weeks of the coronavirus shutdown, Stone Brewing did not immediately trim its workforce. “We waited to have a good look at the business amidst the pandemic,” said Senior Public Relations Manager Lizzie Younkin. “We felt we owed that to our people before reacting too quickly.”

Engels added that he is “thankful” for recent federal legislation that provides additional unemployment benefits for laid-off workers.


“It is our sincere hope that when we make it through this pandemic, and as the economy and demand warms back up, we’ll be able to look forward to welcoming folks back to their jobs,” he said.

