More than 200 people are without jobs after Joriki USA Inc., a bottling plant for Coca-Cola and other products in Pittston Twp., closed its doors on New Year’s Eve.

Although the company had been struggling financially as of a few months ago, the news came as a shock to the 226 workers who are now without paychecks and health insurance.

“We were closing down for Christmas break and expected to return to work on Dec. 27, but I got a text from a supervisor saying they were finishing up some projects, and they wouldn’t be opening till Jan. 2, so we didn’t have to report Dec. 29 or 30. We took it as getting a couple extra days off,” Anthony Salvaggio, who worked at the plant as a maintenance mechanic for about seven months, said in a phone interview.

“Come New Year’s Eve, we got a random email telling us our jobs were gone and our insurance was gone,” Salvaggio, 29, of Forty Fort, said.

Joriki did not give the state or employees a 60-day notice of the layoffs as usually required under the federal Worker Adjustment and Retraining Notification (WARN) Act when a plant is closing or imposing sizable layoffs. This notice goes to affected workers or their representatives, the state’s dislocated worker unit, and the local government.

According to letters dated Dec. 31 that Joriki sent to employees and to the state Department of Labor and Industry, Joriki “would have preferred to provide more notice” of the facility closure, but the company was unable to do so “due to unforeseen business circumstances and because of the circumstances explained herein.”

For several months, Joriki was actively pursuing a transaction that the company reasonably believed would enable it to maintain operations and prevent employment losses. At the same time, Joriki has been receiving financial support from one of its major customers, as well as from its primary lenders, to continue operations in the normal course and pursue a transaction, according to the letters.

“In good faith and reasonably, the company believed that giving WARN notice at least 60 days prior to the termination date would have precluded the company from finding a buyer that would want to purchase the company’s business and from continuing to receive funding support from the customer and the lenders,” the letters state.

“Unfortunately, on Dec. 23, 2024, the potential buyer advised it did not intend to proceed with a transaction. Following this, Joriki’s major customer and lenders advised they would no longer fund Joriki’s ongoing operations. These events were sudden, dramatic, and unexpected and have led to a significant financial crisis that the company believes cannot be realistically addressed without implementing the facility closure,” the letters state.

The letter to the Department of Labor and Industry indicated that a copy was sent to Michael Lombardo, mayor of the City of Pittston, even though the bottling plant is located in Pittston Twp.

Kyle Rozitski, administrator for Pittston Twp., said supervisors learned of the plant closing through a media report, and township officials received no notice from the company, which is headquartered and has two production facilities in Ontario, Canada, and one facility in British Columbia, Canada.

The Department of Labor and Industry did not provide potential consequences of violating the WARN Act prior to press time.

Joriki’s letter to employees provided websites for instructions on filing for unemployment insurance as well as for seeking new jobs. “If the company concludes you are needed in connection with the wind-down of the facility, you will be advised separately,” it states.

Salvaggio said he filed for unemployment insurance, but he was floored that the company did not extend health insurance coverage for even one month.

“I personally called the medical insurer and they told me everything ceased as of Dec. 31,” Salvaggio said. “I have two children and one is asthmatic.”

Fortunately, his wife, who also has medical issues that require medications, was able to pick up coverage through her employer, Salvaggio said, adding that his last paycheck was missing almost 50 hours of pay.

“It seemed like a decent job, but the place was very mismanaged the entire time, almost like a circus. It was just not ran right from day one. But, it was a job that paid the bills,” said Salvaggio, who added that he has some employment prospects in the works. “I’m not going to sit around and weep. It’s time to move on.”

Originally Published: January 3, 2025 at 3:52 PM EST