Philippine franchise bottler Coca Cola FEMSA Philippines Inc. will cut back on its workers after a close evaluation of certain factors, the company stated Tuesday.
The local franchiser of the world-renowned carbonated beverage explained in a statement that the “difficult decision” of the particular restructuring was done after the Coca Cola System began to undertake “an organizational structure assessment”, following “recent developments within the beverage industry and the business landscape as a whole”.
In this evaluation, it closely gauged “the evolving regulatory environment, our operational efficiency, and consequent performance in the market”.
Despite this, it did not disclose how many workers will be laid off.
Nonetheless, the franchiser assured that those affected by the decision will be treated “with dignity, fairness, and respect throughout this process”.
Employees who would not make the cut will be given career-transition support and separation packages, it added.
Earlier this year, the Tax Reform for Acceleration and Inclusion law began its implementation, imposing additional levies on certain goods, including sugar-sweetened beverages, as it reduced personal income tax rates.
An excise tax of P6 per liter is being charged from beverages using caloric and non-caloric sweeteners, while P12 per liter is levied on drinks with high fructose corn syrup as ingredient.