Coca-Cola will close its factory in 2023; 319 to lose jobs | Company
NORTHAMPTON, Mass. (AP) – Coca-Cola has announced plans to close a Massachusetts bottling plant in the summer of 2023, leaving its 319 employees to find new jobs.
The beverage giant on Wednesday announced plans to shut down the Northampton plant, as well as sell facilities in Michigan, Missouri and Texas to Refresco, which the company says are unrelated, the company reported. Daily Hampshire Gazette.
“After careful consideration, The Coca-Cola Company has decided to close our production facility in Northampton, Massachusetts,” the company said in a statement. “We did not take this decision lightly and are grateful for the opportunity to be part of the Northampton community.”
Mayor David Narkewicz said Thursday it would be a major economic loss for the city. Narkewicz said the plant is the city’s largest manufacturer, water customer and taxpayer.
The property is valued at $ 17.7 million, according to city tax records, and the company pays approximately $ 306,000 in annual property taxes.
The company benefited from a 13-year tax increase funding agreement with the city that reduced taxes by 50% for the first seven years and 25% for the remainder. The agreement expires in the summer of 2023.
Narkewicz said officials informed him the shutdown was tied to a restructuring plan that would also shut down a plant in California.
“There have been significant investments from the state and the city to keep them here and help them grow,” he said. However, “Northampton is caught up in a larger model of corporate restructuring.”
State Representative Lindsay Sabadosa, D-Northampton, said the announcement is “both surprising and disappointing, especially at a time when there is so much focus on getting people back to work.”
“I’ll be curious as to why a business whose revenues grew 42% last year is closing a location that has long been an important part of the community, a community that has worked hard to meet their needs,” said Sabadosa.
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