Previously, I summarized the repercussions of the “sugary drinks” tax imposed by the city of Philadelphia. As expected, the tax is causing layoffs, with an update from Teamsters Local 830 Secretary-Treasurer Daniel Grace:
- Pepsi, Co., announced 80-100 of the 423 people employed in Philadelphia will be out of a job.
- Canada dry is planning 25 layoffs
- Coca-Cola is planning similar layoffs
These, according to Grace, are “a direct result of the city’s onerous and discriminatory Beverage Tax.”
“Unfortunately, after careful consideration of the economic realities created by the recently enacted beverage tax, we have been forced to give notice that we intend to eliminate 80 to 100 positions, including frontline and supervisory roles,” Pepsi spokesman Dave DeCecco said.
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Also, as I previously wrote, people are leaving the city limits to purchase their “sugary drinks”, which goes beyond a basic Coca-Cola or Pepsi. As a consequence, people are purchasing most or all their groceries outside the city. This will cost local businesses everywhere, including purchasers, truck drivers, catering services, plus the many colleges, universities, and medical schools in the city that provide vending and cafeteria services to students. Grace points to the city council members and those union leaders that supported the tax when it passed last summer:
“We predicted this dire outcome from the outset. I hope they can live with themselves after knowing that their actions led to the devastation of an industry in the city and the loss of so many family-sustaining jobs.”
I am not sure they care, Mr. Grace. Power is more important than common sense.
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- Discussion
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As Expected, Philadelphia’s Tax On “Sugary Drinks” Results In Layoffs https://t.co/5EeFyraHb7
— The Resurgent (@resurgent) March 6, 2017
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