Pepsi shuts down operations at iconic Maryland plant — more than 100 workers now jobless. Are sky-high prices finally breaking America’s soda habit?

It’s the latest PepsiCo facility to see major layoffs, with the food and beverage giant shuttering or reducing operations at several facilities since 2024.

At least 143 job losses

On Sept. 14, PepsiCo laid off 143 employees of the Cheverly plant in fleet, transport, manufacturing and warehouse operations, plus other salaried employees, the company said in a letter to the Maryland Department of Labor and the Cheverly mayor. According to the letter, 98 of those workers are represented by the Teamsters Local 639 union.

PepsiCo said that sales and delivery operations jobs would not be impacted.

Prince George’s County Council Member Jolene Ivey told NBC4 that it was difficult news for the community.

“It’s hard for the people who are losing their jobs, 100% that is the most important thing,” she told NBC4. “And then for those of us who’ve just grown up with the Pepsi plant there, it just seems ... I don’t know, it’s just hard. You hate to think that something like that is going away. It’s just been a part of our fabric.”

According to a Cheverly official who NBC4 spoke to, the facility is the highest grossing revenue generator in the town and added roughly $200,000 annually.

Ivey told NBC4 that the aging factory faced power and water issues, which she said contributed to the decision.

“The building is so old,” Ivey told NBC4. “The upgrades were so expensive and they were having problems with being able to keep the electricity going all the time. And the water itself cost too much for the company to upgrade to keep it going.”

NBC4 reported that PepsiCo said in a statement that the decision was related to changes in consumer demand, technology and its operating network.

Latest round of layoffs

Since 2024, several PepsiCo facilities around the country have faced closures or major layoffs. In October 2024, PepsiCo announced the closure of four bottling plants, in Cincinnati, Chicago, Harrisburg, Penn., and Atlanta.

In July 2025, the company announced it would end manufacturing, transport and maintenance operations at its Detroit site. That announcement came just a week after the company said it was looking to move toward “integration” between PepsiCo’s Frito-Lay North America and PepsiCo Beverages North America, to boost productivity.

In November 2025, PepsiCo said it would close two Florida Frito-Lay manufacturing facilities in Orlando, with 500 employees impacted.