Hundreds of jobs will be lost when a PepsiCo facility in Orlando, Florida, closes after nearly 60 years of operation. The plant, which opened in 1965 and produced popular products like chips and other Frito-Lay snacks, employed several generations of the same families. PepsiCo has now confirmed that production has stopped at the location and that more city closures are imminent. Approximately 500 Orlando employees will be affected over the coming years.
According to the company, this decision was not made quickly. “This was a difficult decision, as we know how much this site and its people mean to the Orlando community.” PepsiCo said in a statement. “This action was driven by business needs, and we are committed to treating every impacted employee with care – providing transition assistance, career support, and pay and benefits during this time,” the release added, highlighting that the decision is based on business realities.
What’s happening at the Orlando facilities
According to a WARN (Worker Adjustment and Retraining Notification) notice, 454 people were affected when the plant stopped working on November 4. In addition, a second closure is planned for an external warehouse in the same city, programmed for May 9, 2026—affecting 46 additional workers.
The plant had been working for 60 years, which made them a big part of the local economy, but also a big problem for those who had been part of it for so long. PepsiCo is very much aware of this, and—in a effort to find some balance—they’re giving support solutions for those losing their jobs. Offering assistance to help the professional transition on things, like preparing resumes, a job fair organized by the company itself and relocation services to help people find new jobs.
Why PepsiCo is making these cuts
These actions are a part of a larger transformation, according to PepsiCo. The company claims that it is reacting to what it refers to as “challenging market conditions,” a term that usually means pressures like increased costs, shifting consumer preferences, or more intense competition. They are attempting to improve its efficiency and streamline its operations with this setting.
The company also announced back in June that it would stop manufacturing at a Frito-Lay facility in California after fifty years. PepsiCo CEO Ramon Laguarta stated during a recent earnings call that the company is now concentrating on closing older facilities and reducing excess staff. He stated that in order to keep products flowing through the system, they intend to automate some jobs and cut back on roles that were added recently. “We’re clearly going after some manufacturing nodes that are not needed anymore.” He said.
According to a report by layoff tracking company Challenger, Gray & Christmas, over 153,000 jobs were eliminated in October 2025. Major reductions in staff have also been announced by other large corporations: UPS has cut 48,000 positions, dividing them between management and operations, Amazon plans to cut about 14,000 roles, and Verizon is reducing about 15,000 jobs to cut costs.
What it means for workers and communities
The closure is a personal loss for the 500 Orlando residents who are impacted, not just a business decision. Everyday life shifts when a long-standing factory closes; people may have to look for new jobs, travel farther, or even relocate to a different city.
The uncertainty that comes with losing a steady job cannot be completely eliminated, even with PepsiCo’s promise to help with transition assistance, career support, and pay and benefits during this time.
In a more general manner, these closures demonstrate how big businesses can quickly adapt to changing circumstances in the market. While automation, cost-cutting, and restructuring can increase a company’s efficiency, they also force actual employees to make difficult decisions.