Joriki Beverages Closes Pittston Coca-Cola Bottling Plant
- 07-Jan-2025 12:45 AM
- Journalist: Alexander Pushkin
Joriki Beverages, a Canadian contract beverage manufacturer, has abruptly closed its processing plant in Pittston, Pennsylvania, leaving more than 200 employees without jobs. The closure, which occurred just after the New Year, has shocked workers who were expecting to return to work after the holiday break. Instead, they received termination emails on New Year's Eve, notifying them of their immediate layoffs.
The Pittston plant, which was Joriki's only processing facility in the United States, produced beverages for major brands like Welch’s and Coca-Cola.
Joriki, which had been struggling financially for several months, did not issue the usual 60-day notice of layoffs as required under the federal Worker Adjustment and Retraining Notification (WARN) Act. The company cited "unforeseen business circumstances" for not providing the proper notice. In letters sent to employees and the state Department of Labor and Industry, Joriki stated that it had been actively pursuing a transaction that could have helped save the plant and jobs. However, the potential deal fell through just before Christmas, leading to the sudden financial crisis.
Joriki also noted that its major customer and primary lenders had been providing financial support, but after the failed transaction, they decided to stop funding the company’s operations. “Unfortunately, on Dec 23, 2024, the potential buyer advised it did not intend to proceed with a transaction. Following this, Joriki’s major customer and lenders advised they would no longer fund Joriki’s ongoing operations,” the company’s letters explained. This sudden financial collapse left the company with no choice but to shut down the facility.
Local officials were also left in the dark about the closure. Kyle Rozitski, administrator for Pittston Township, said the first word of the shutdown came from the media. The plant's abrupt closing without notice from Joriki has raised concerns about the potential violations of the WARN Act.
As workers scramble to file for unemployment insurance and seek new employment, many are left wondering what led to the closure and whether Joriki will face legal or financial consequences for not adhering to the required notice protocol. Joriki's Pittston plant closure follows a tumultuous few months for the company, which had already faced significant challenges, including a deadly listeria outbreak at its Canadian facility that was linked to plant-based milks in 2024.
The company’s future remains uncertain, with many workers now left to deal with the consequences of the sudden shutdown.