PepsiCo Plant Closure Sparks Legal Dispute
PepsiCo Plant Closure Sparks Legal Dispute

PepsiCo Plant Closure Sparks Legal Dispute

News summary

PepsiCo has abruptly closed its 60-year-old bottling plant in Chicago's Back of the Yards, leaving over 100 employees without warning and sparking allegations of labor law violations. The union, Teamsters Local 727, claims the closure violates the Worker Adjustment and Retraining Notification (WARN) Act, as no 60-day notice was given, and breaches the collective bargaining agreement. PepsiCo maintains that its actions are legally compliant, offering pay and benefits until December 28. The closure is part of a broader strategy to optimize PepsiCo's manufacturing network, affecting several facilities across the U.S., including those in Ohio and Pennsylvania, resulting in significant job losses. Union leaders are demanding additional compensation and legal recourse for affected workers, criticizing PepsiCo's lack of transparency and consideration for long-term employees. The sudden shutdown has left many workers, some nearing retirement, in a difficult position, leading to calls for a meeting with company officials.

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