A Major Soda Plant in Chicago Abruptly Closed Leaving Dozens Laid Off
Just a couple weeks after a 110-year-old Chicago candy plant closed its doors, another major factory in the Windy City has shuttered. However, this one wasn't expected and has resulted in the layoffs of hundreds of workers.
Such a move is not only an impossibly devastating blow to the loyal employees of the company, but the surrounding economy, as this plant was a major player in the soda and beverage industry in Chicago and beyond. The repercussions from this will be felt deeply, not to mention the sting for those who kept the factory bustling and operational for decades.
Pepsi Beverage Company, commonly abbreviated to PepsiCo, located in on West 51st Street in Chicago's Back of the Yards neighborhood, abruptly closed this week. Workers were given no notice until they showed up at the facility and were told the plant would no longer be open. Some have been with the company for more than 45 years.
ABC 7 Chicago caught up with Eric Gadson, a former PepsiCo truck driver, just one of almost 80 employees laid off by the plant's closure. Gadson worked for the company as a truck driver for 21 years:
I'm the sole provider in my household. My wife has MS. My daughter's about to go to college next year. So, it's, I can't put into words what I feel right now [....] Being 58 years old, it's like starting all over again. It's going to be hard - Eric Gadson, per ABC 7 Chicago
PepsiCo Beverages North America issued a statement in conjunction with the closure of the Back of the Yards facility:
The decision to no longer operate at 51st Street is a difficult one. This is a more than 60-year-old building that has physical limitations. Our top priority is to support our employees during this transition, and our commitment to serve Chicagoland remains strong. Our plans meet applicable legal requirements and we will actively work with Union leadership on the details related to the closure. - per ABC 7 Chicago
The closure has riled up the Teamsters Local 727 union, who represents the plant's workers. The local chapter claimed that PepsiCo's eleventh hour notice to its employees is "in violation of the WARN Act," a piece of legislation that requires employers with 75 or more full-time employees to provide 60 days advance notice of plant closures or mass layoffs.
Teamsters Local 727 added that what happened with Chicago's PepsiCo plant, particularly right before the holiday season was "disgusting and a disgrace."
PepsiCo had a second meeting with employees on Monday, October 28th at 2pm to give them the news, but word had gotten out by the time second shift had begun, per ABC 7 Chicago. The union stated they have proposed a meeting with PepsiCo on Wednesday.
There are almost no words to convey what a devastating blow this is to many families in this particular working class neighborhood in Chicago. Read more about PepsiCo closing their Back of the Yards facility on ABC 7 Chicago's website.
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Gallery Credit: Liz Barrett Foster