PepsiCo has confirmed it plans to close its Frito-Lay plant in Orlando, the latest in a number of other facility closures announced by the US snacks and drinks giant.
In a statement provided to Just Food, PepsiCo said: “PepsiCo Foods US announced the shutdown of manufacturing and warehouse operations at our Orlando plant.
“This action was driven by business needs and we are committed to treating every impacted employee with care – providing transition assistance, career support, and pay and benefits during this time.”
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PepsiCo did not clarify the number of jobs that will be at risk from the Orlando closure. However, according to a WARN notice from the Florida Department of Commerce, cited by a host of local media reports, 454 staff at the facility will be impacted.
Another 46 people will be laid off at a nearby office of PepsiCo.
Orlando News reported that the manufacturing site is due to close by May next year.
“This was a difficult decision as we know how much this site and its people mean to the Orlando community,” PepsiCo added in the statement.
Earlier this year, PepsiCo said it was closing its Frito-Lay Rancho Cucamonga processing plant in southern California after five decades of operations, without clarifying the number of job losses.
In February, it also revealed the closure of a snacks plant in New York manufacturing the PopCorners brand, with 200 employees to lose their jobs.
And last year, PepsiCo said its Frito-Lay factory in Middletown, New York State was shuttered for “economic reasons”.
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By GlobalDataMeanwhile, PepsiCo CEO Ramon Laguarta has recently insisted the US giant is working with “a sense of urgency” on reshaping its portfolio and reducing costs, amid scrutiny from activist investor Elliott Investment Management.
In September, Elliott called on PepsiCo to review the make-up of its businesses in North America after a period of “poor financial results”.
At the time, Eliott, which manages funds with a $4bn stake in PepsiCo, said the company was at “a critical inflection point”.
