(AP) – Spirits producer Heaven Hill Distillery says its contract talks with striking union workers have reached an impasse.

The company said Monday it will start hiring permanent replacement workers for bottling and warehouse operations in Kentucky.

Union leaders say they’re willing to continue negotiations and accuse the company of wanting to replace longtime employees with non-union workers.

About 420 workers have been on strike for more than five weeks. They rejected a five-year contract offer and formed picket lines at Heaven Hill’s operations in Bardstown, Kentucky.

The dispute revolves around health care and scheduling issues.

Heaven Hill produces Evan Williams bourbon.