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Whiskey House of Kentucky cuts 30% of staff

Almost a third of the workforce has been reduced at custom distillery Whiskey House of Kentucky.

Whiskey House of Kentucky
Whiskey House of Kentucky opened in the summer of 2024

The Elizabethtown-based company revealed it is currently operating at around 60% capacity and said it was taking “prudent steps” to ensure its long-term strength, competitiveness and sustainability.

Despite the cuts, Whiskey House said it was confident about its future and maintains a strong sales pipeline and continued growth in its international business.

It said it was ‘among the last contract manufacturers’ to make workforce adjustments. Earlier this year, MGP Ingredients paused production at two of its Kentucky distilleries, which resulted in the loss of 33 jobs.

Whiskey House said it was providing ‘generous’ severance packages, the continuation of benefits, and assistance with job placements for employees.

CEO David Mandell said: “As an industry, we are navigating a cyclical slowdown, and our responsibility is to make thoughtful decisions that protect the long-term health of our company, our customers, and our employees.

“These decisions are difficult because they affect people we care deeply about. That’s why we’ve worked hard to support those impacted with meaningful severance, continued benefits, and career transition assistance.

“While current market conditions remain challenging, we are encouraged by the momentum we are seeing in customer demand, the progress of our international expansion, and the long-term prospects for the whiskey industry.

“By taking these actions now, we are ensuring that Whiskey House remains financially strong, operationally ready, and positioned to lead when growth returns.”

Whiskey House of Kentucky began operations in July 2024 and struck a rickhouse expansion deal the following year.

In July 2025, the business secured a credit upgrade to support its growth.

Whiskey House is currently facing a US$1.65 million legal claim from its construction company.

The industry downturn has also affected distributors, with RNDC axing 56 jobs in Ohio this week and Breakthru Beverage laying off ‘hundreds’ of staff in February.

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