Coca-Cola Philippines to Lay Off Workers
In light of the recent development in the beverage industry and business platform, the Coca-Cola FEMSA Philippines Inc. claimed that it is cutting its labor force.
In an email released by the giant soft-drink maker, it stated:
“Coca-Cola System is undergoing an organizational structure assessment,” which involves a comprehensive review of the roles and responsibilities within Coca-Cola FEMSA.. This restructuring has been a very difficult decision.. It was carried out only after an exhaustive and conscientious assessment of the evolving regulatory environment, our operational efficiency, and consequent performance in the market,”
However, Coca-Cola FEMSA refused to reveal how many employees will be affected by the layoff. But so far, the company employs around 8000 workers here in the Philippines according to the company’s official website.
The announcement came to light a few weeks following the passing of Tax Reform for Acceleration and Inclusion (TRAIN) law, which mandates an additional P6 per liter excise tax on beverages with caloric and non-caloric sweeteners and P12 per liter excise tax on beverages with high-fructose corn syrup.
According to Coca-Cola FEMSA Philippines Corporate Affairs and Legal director, Juan Lorenzo Tañada, the said beverage industry consumes as much as 40 percent of Philippines’ total overall sugar production, while the bottling facilities account for some 60 percent of the demand in the industry.
“We are grateful for the valuable contributions of those who were affected and thank them for being part of the company.. Rest assured that we will treat the people who will be affected with dignity, fairness, and respect throughout this process. Everyone will be given career transition support, as well as separation packages that go beyond what is mandated by law,”