B.C. cannabis stores grapple with delivery stoppage as BCLDB workers go on strike
British Columbian cannabis stores are bracing for emptier shelves after a strike stopped the province's pot distribution centre from shipping out product.
The British Columbia General Employees' Union (BCGEU), which represents about 33,000 public-service workers across B.C., set up picket lines at four BC Liquor Distribution Branch (BCLDB) wholesale and distribution centres Monday.
Retail liquor and cannabis stores are not part of the strike launched over wages, but the cannabis division of the Burnaby customer care centre is part of the job action, the union said.
In response, the BCLDB announced its cannabis distribution centre will not accept or ship product, assemble orders, or process invoices or purchase orders.
“We sincerely apologize for this disruption and for the impact to your business,” the BCLDB said in a note to stores published on its website.
The province was preparing to allow cannabis stores to accept direct deliveries of product from licensed producers long before the strike began, but until those deliveries start, stores have no choice but to get their products from the BCLDB.
Vikram Sachdeva estimates his B.C. chain of Seed and Stone stores has a good supply of products right now, but that could quickly change, if the strike drags on.
“I'm hoping that we can survive for a week or a little bit longer, but beyond that point, it's going to be very difficult,” he said.
Sachdeva wishes stores were notified earlier about the delivery stoppage, so they could have stocked up on products.
“It just came as a bit of a shock and...now the concern is how long before they start delivering to us so that we don't start running out of products?” he said.
He added he will be disappointed if he has to turn away consumers for lack of product, especially if they are seeking cannabis for medical reasons.
He also fears consumers may turn to the still popular illicit market, if they can't find cannabis stores with stock left.
High Tide Inc., which is behind the Canna Cabana chain of stores, has similar worries.
“For the time being we are managing the situation by re-allocating inventory between our British Columbia stores, but if the job action is not resolved within the next 10 days, we could face inventory issues,” said senior vice-president of corporate and public affairs Omar Khan, in an email.
“We urge the BCLDB and the BCGEU to resolve their dispute as soon as possible, as lack of inventory at licensed cannabis stores risks driving consumers back into the hands of the illicit market, which will endanger public health and drive much needed revenue away from government coffers.”
His remarks come a week after the Ontario Cannabis Store (OCS), the province's pot wholesaler, temporarily stopped making deliveries to marijuana shops.
The stoppage of deliveries to Ontario's 1,333 cannabis stores stemmed from an Aug. 5 cyber attack affecting Domain Logistics, the company behind the OCS's third-party distribution centre.
The OCS has restarted deliveries again, after an investigation into the matter, but temporarily capped the amount of product pot stores can order and extended its delivery window to work through the backlog.
Tamy Chen of BMO Capital Markets warned both B.C. and Ontario's recent troubles could weigh on the sector's performance.
“We caution there may be short-term disruptions on Q3/22 sales from a cyber attack in Ontario and labour strike in B.C.,” she said in a Tuesday note to investors.
This report by The Canadian Press was first published Aug. 17, 2022.
CTVNews.ca Top Stories
'They needed people inside Air Canada:' Police announce arrests in Pearson gold heist
Police say one former and one current employee of Air Canada are among the nine suspects that are facing charges in connection with the gold heist at Pearson International Airport last year.
House admonishes ArriveCan contractor in rare parliamentary show of power
MPs enacted an extraordinary, rarely used parliamentary power on Wednesday, summonsing an ArriveCan contractor to appear before the House of Commons where he was admonished publicly and forced to provide answers to the questions MPs said he'd previously evaded.
Leafs star Auston Matthews finishes season with 69 goals
Auston Matthews won't be joining the NHL's 70-goal club this season.
Trump lawyers say Stormy Daniels refused subpoena outside a Brooklyn bar, papers left 'at her feet'
Donald Trump's legal team says it tried serving Stormy Daniels a subpoena as she arrived for an event at a bar in Brooklyn last month, but the porn actor, who is expected to be a witness at the former president's criminal trial, refused to take it and walked away.
Why drivers in Eastern Canada could see big gas price spikes, and other Canadians won't
Drivers in Eastern Canada face a big increase in gas prices because of various factors, especially the higher cost of the summer blend, industry analysts say.
Doug Ford calls on Ontario Speaker to reverse Queen's Park keffiyeh ban
Ontario Premier Doug Ford is calling on Speaker Ted Arnott to reverse a ban on keffiyehs at Queen's Park, describing the move as “needlessly” divisive.
'A living nightmare': Winnipeg woman sentenced following campaign of harassment against man after online date
A Winnipeg woman was sentenced to house arrest after a single date with a man she met online culminated in her harassing him for years, and spurred false allegations which resulted in the innocent man being arrested three times.
Woman who pressured boyfriend to kill his ex in 2000s granted absences from prison
A woman who pressured her boyfriend into killing his teenage ex more than a decade ago will be allowed to leave prison for weeks at a time.
Customers disappointed after email listing $60K Tim Hortons prize sent in error
Several Tim Horton’s customers are feeling great disappointment after being told by the company that an email stating they won a boat worth nearly $60,000 was sent in error.