PepsiCo, the American multinational food, snack, and beverage giant, has announced plans to shut down its PopCorners snack plant in New York, a move that will result in over 200 job losses.
According to a Worker Adjustment and Retraining Notification (WARN) filed with the New York State Department of Labor, the layoffs will take place over a 14-day period starting May 21. The notice also indicates that the affected employees are not unionized.
In a statement, PepsiCo acknowledged the plant’s contribution to its snack production but cited slowing growth as the primary reason 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, combined with broader industry trends, has made it difficult to sustain the site’s long-term viability,” the company stated.
PepsiCo also expressed appreciation for its Liberty plant employees, emphasizing that the closure was not a reflection of their dedication or hard work.
It mentioned that it had notified its workforce and was working closely with its employees and local community officials to ensure a supportive transition.
The local authority in Sullivan County, where the Liberty facility is located, also stated the closure, “We are deeply concerned about PepsiCo’s decision to shutter their Liberty food manufacturing facility, which has been an integral part of our community for decades and employs hundreds of locals. This action will have many impacts, which we intend to sort out with PepsiCo’s assistance in the coming weeks.”
They stated that together with the Town of Liberty, the Village of Liberty, and their partners, including the Chamber of Commerce and the Partnership for Economic Development, they would assist the impacted workers in every possible way.
This support would include providing necessary services to individuals and families and offering the full support of their Center for Workforce Development to help residents remain employed locally.
The closure came after the company recently announced that it would focus more on catering to consumers looking for value and boosting its better-for-you options to stoke growth in its snacks business.
PepsiCo highlighted efforts to increase sales of healthier snacks, like Simply, which has no artificial colours or flavours, and high-protein items, such as Quaker.
PepsiCo’s CEO Ramon Laguarta told analysts, “Value is the number one decision maker, and the reason why the snacking category has slowed during the last year. PepsiCo will offer additional multi-count packages in smaller counts with lower price points that consumers can purchase depending on their budgets.”
