PepsiCo to End Production at Three Additional Plants in Cincinnati, Harrisburg (Pa.), Atlanta
(UPDATED with PepsiCo Beverages North America statement and additional information at 3:20 p.m. Central time, Oct. 30, 2024)
Just one day after PepsiCo abruptly closed a Chicago plant — which came as a surprise to employees there — the company has announced it would be shutting down production at three other plants in Pennsylvania, Ohio and Georgia. The Pennsylvania and Ohio closures were first reported by various news outlets in those locales.
In response to a Food Processing inquiry about those two production shutdowns and the Chicago closure, PepsiCo Beverages North America (PBNA) added that it was ending production in Atlanta as well, in the following statement:
"We're investing in a more agile and optimized manufacturing network to best meet dynamic consumer needs. As a result, we have stopped production operations in four locations. In three of these locations, Cincinnati, Harrisburg and Atlanta, we will continue to operate a warehouse to serve our local customers and communities. We have made the difficult decision to no longer operate at 51st Street in Chicago. Employees at these locations have been notified of the production changes and supporting them during this transition remains our top priority."
Initial reports from a local news affiliate reported that in Cincinnati, Ohio, a “scaled warehouse” would continue to operate at the Pepsi facility there. A Worker Adjustment and Retraining Notice (WARN) cited by the news outlet said 136 employees would stand to lose their jobs when the production portion of the facility shuts down Dec. 28, 2024.
Meanwhile, reports out of Harrisburg, Pa., noted that Pepsi was shutting down production at its Dauphin County bottling plant as well, also on December 28. That move would result in 127 employees losing their jobs, according to the WARN notice filed with the state of Pennsylvania and cited by the news outlet. Another news outlet reported that Pepsi was also ending transport operations at a plant near Carlisle, Pa., and that regional sourcing changes were to blame for the changes.
According to an Associated Press report, the Atlanta shutdown will impact fewer than 50 employees.
PBNA's statement also noted the following, with regard to the timing of the announcements: "In compliance with WARN, employees were notified, will continue to be paid and receive benefits as set forth in the collective bargaining agreement for 60 days from this notice. Most employees will not be required to work during this 60-day period."