News Summary
PepsiCo has announced the closure of its manufacturing operations at the Detroit facility, affecting 83 employees by September 27, 2025. The layoffs will impact various roles while other operations, such as warehouse and sales, will continue. The company will help affected workers with job placement and will maintain their wages and benefits through their termination date. This closure follows a trend of consolidating operations due to market challenges as the company seeks to adapt to changing consumer preferences.
Detroit – PepsiCo is set to close its manufacturing operations at its Detroit facility located at 1555 Mack Avenue by September 27, 2025. This closure will result in approximately 83 employees being laid off, as confirmed by a recent filing under the Workers Adjustment and Retraining Notification (WARN) Act.
The layoffs will affect a variety of roles within the facility, including production, maintenance, and transportation. However, other operations at the plant, such as warehouse, fleet, delivery, sales, and field-service technician teams, will continue. The company communicated that affected employees were notified of the layoffs on July 21, 2025.
Of the 83 employees losing their jobs, around 11 belong to labor unions, specifically Teamsters Local 337 and Operating Engineers 324. In an effort to support those impacted by the job cuts, PepsiCo will provide information on alternative job openings within the company and assist in job placements at nearby facilities. Employees affected by the layoffs will continue to receive their wages and benefits through their termination date, with additional retirement and group insurance benefits granted in accordance with existing employee benefit plans.
This decision to close the Detroit operations follows a broader trend within PepsiCo, which has been consolidating its manufacturing facilities nationwide over the past year due to challenges in sales and market demand. Notably, the Detroit plant has been operational for over 80 years, although its workforce has significantly decreased; it employed around 400 individuals in 2020.
PepsiCo’s second-quarter earnings report indicated better-than-expected profits despite ongoing struggles with sales. In response to evolving consumer preferences toward healthier options, the company intends to launch high-protein snacks and beverages later this year. This initiative seeks to attract health-conscious customers amidst reports of reduced consumer spending and increased operational costs associated with tariffs.
In April, PepsiCo had previously lowered its full-year earnings expectations, highlighting the financial pressures affecting its operations. The Detroit plant closure is a reflection of the company’s broader strategy to streamline operations in response to changing market dynamics.
As PepsiCo transitions away from its Detroit manufacturing operations, the economic impact on the local community will likely be significant. The 83 job losses represent just a fraction of the ongoing employment challenges faced by workers in the area, as businesses respond to shifting consumer demands and economic pressures.
The local economy will need to adjust to the fallout from this decision, with former employees now facing the challenge of finding new job opportunities in a competitive labor market. Community resources and support systems will play a critical role in assisting those affected by the layoffs during this transition period.
As the closure date approaches, all eyes will be on PepsiCo’s efforts to ensure a smooth transition for its impacted workforce and the facility’s ongoing operations that remain unaffected by the layoffs.
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Additional Resources
- MLive
- Wikipedia: PepsiCo
- Fox 2 Detroit
- Google Search: PepsiCo Detroit jobs closure
- CBS News
- Google Scholar: PepsiCo Detroit closure
- Food Processing
- Encyclopedia Britannica: PepsiCo operations
- The Cool Down
- Google News: PepsiCo job layoffs
Author: STAFF HERE DETROITMI WRITER
DETROIT STAFF WRITER The DETROIT STAFF WRITER represents the experienced team at HEREDetroitMI.com, your go-to source for actionable local news and information in Detroit, Wayne County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Movement Electronic Music Festival, Detroit Grand Prix, and America's Thanksgiving Parade. Our coverage extends to key organizations like the Detroit Regional Chamber and Focus HOPE, plus leading businesses in automotive and healthcare that power the local economy such as General Motors, Ford Motor Company, and Henry Ford Health. As part of the broader HERE network, including HEREGrandRapids.com, HERENorthville.com, HERENovi.com, and HEREPlymouth.com, we provide comprehensive, credible insights into Michigan's dynamic landscape.
