In Detroit, Coca-Cola Co (NYSE: KO) plans to shut down in October and move to their other location in Grand Rapids, where the company will consolidate the two plants. Coca-Cola Company officials made the announcement on August 12, 2021.
Coca-Cola gives reasons for the move to Grand Rapids
To explain its action, the company says that the Detroit facility is old and has issues such as water and parking. The building at 5981 W. Warren Ave is also landlocked, making expansion impossible. In preparation for the change, a new plant has already been built on the company’s Grand Rapids site.
The Vice President of public affairs and government relations for Great Lakes Coca-Cola, Nancy Limon, emailed the Detroit Free Press on August 3. In the notice, she explains how the move to the facility in Grand Rapids will be highly beneficial to the company. The facility will be better positioned to manage the size and scale needed for maximum production in the state. Nevertheless, she stated that the company plans to treat Detroit employees with respect and dignity while the process is ongoing.
Concerns raised from the decision to leave Detroit
President Todd Lince of Teamsters Local 337 raised concerns about Coca-Cola taking jobs from the city. Teamsters Local 337 is a Detroit union that represents employees of the Coca-Cola plant. When speaking to the Detroit Free Press, Lince said that the move would affect 135 workers in and out of the union.
Lince has said that some of the workers will be able to move to the company’s warehouse and distribution center in Highland and Van Buren Township, respectively. However, the people at the bottom might not be so fortunate.
Among the sectors affected will be machine operators, mechanics, transport drivers, and forklift operators.
An agent of Teamsters, Tony Reisdorf, posted a letter on August 3, sent by the Coca-Cola company to Lince explaining the closure.
According to Lince, the mayor’s office has contacted Reyes Holding, a distributor of Great Lakes Coca-Cola, to discuss the closure. In addition, the city is said to have given them various initiatives so they can reconsider the move.
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