PepsiCo has introduced that it’ll shut down a Hudson Valley manufacturing facility that makes the PopCorners snack — leading to almost 300 folks dropping their jobs.
The choice to shut the Liberty, NY, manufacturing facility marks the top of an period for a plant that has been a big employer within the area for nearly three a long time.
A PepsiCo spokesperson advised the Albany Occasions Union that the power will shut down resulting from what the corporate described as challenges in sustaining long-term operations amid shifts within the snack trade.
In keeping with a Employee Adjustment and Retraining Notification (WARN) filed with the state Division of Labor, the layoffs will start on Might 21 and happen over a two-week interval.
The affected workers are usually not unionized, in response to the submitting.
In a press release to the press, PepsiCo acknowledged the plant’s contributions however cited broader trade developments and slowing progress within the product line as causes for the closure.
“This plant has played a vital role in producing our beloved PopCorners brand, but the pace of growth for this product line paired with broader industry pace of growth has made it difficult to sustain the site’s long-term viability,” PepsiCo mentioned in a press release.
“We deeply appreciate the contributions of our Liberty employees, and this decision does not diminish the value of their hard work and dedication.”
The corporate mentioned that it has “notified our workforce” and that it was “working closely with our employees and local community officials to provide a supportive transition.”
The Liberty facility has longstanding ties to the neighborhood, initially working underneath Superb Snacks when it was based in 1997.
In 2003, the plant expanded — reflecting its early success. Nevertheless, in 2017, simply earlier than the corporate was bought to BFY, Inc., roughly 200 workers have been laid off, prompting a lawsuit from two former employees.
In 2019, PepsiCo, the $209 billion multinational meals and beverage firm identified for manufacturers equivalent to Pepsi, Lay’s, Gatorade and Quaker, acquired the Liberty plant in addition to one other facility in close by Middletown as a part of its buy of BFY Manufacturers.
The Middletown facility additionally skilled vital job reductions final yr when the corporate reduce a 3rd of its workforce, citing financial components.
The information of the closure has generated concern amongst native officers, who emphasised the plant’s function as a key employer within the space.
In a joint assertion, Sullivan County Legislature Chair Nadia Rajsz, Liberty City Supervisor Frank DeMayo and Village of Liberty Mayor Joan Stoddard expressed their disappointment over PepsiCo’s choice — describing the power as “an integral part of our community for decades.”
Native officers and financial improvement teams are actually working to mitigate the influence of the closure.
The county, city, and village governments have introduced plans to collaborate with PepsiCo, the Chamber of Commerce and the Sullivan County Partnership for Financial Growth to help displaced employees.
Regardless of the setback, Sullivan County has seen latest financial progress.
Final yr, the county reported the strongest non-public sector job progress within the Hudson Valley, together with a slight decline in unemployment.
Nevertheless, challenges stay as 14.8% of the county’s residents lived in poverty in 2023, a charge increased than the nationwide common of 12.5%, in response to US Census knowledge.
Sullivan County Legislator Louie Alvarez voiced issues in regards to the influence on Liberty’s Hispanic neighborhood, highlighting the financial pressure the closure might trigger for a lot of households.
“This is going to hit us very hard,” Alvarez mentioned in an interview with WJFF Radio Catskill.
