Frito-Lay closing Rancho Cucamonga warehouse, laying off 248 workers

PepsiCo Inc. plans to close a Frito-Lay distribution plant in Rancho Cucamonga as the snack giant makes supply-chain adjustments to bring production in line with falling demand.

The Frito-Lay manufacturing facility that gave birth to Flamin’ Hot Cheetos nearly 35 years ago plans to close June 6, laying off 248 warehouse and logistics workers, according to a noticed filed earlier this month by the company with the state’s Employment Development Department.

In total, 680 workers have been laid off at the snack-making giant’s Inland Empire facility since last summer — which is now permanently closed.

The snack industry has taken a hit in recent years as consumer habits shift and federal policies take aim at highly processed food. Over the past year, PepsiCo has been making organizational changes to improve its manufacturing and warehouse and distribution capabilities.

Last June, Frito-Lay Inc. notified 432 employees that the production line at 9535 Archibald Avenue had made its last Cheetos, Tostitos, Doritos and Funyuns. At the time, the snack maker said it would continue to operate the Southern California hub out of the facility, which also included warehouse, distribution and transportation units. Those portions of the campus were untouched by the production line layoffs — until now.

The Rancho Cucamonga plant, which is one of the tallest buildings in Rancho Cucamonga, opened in 1970. Frito-Lay, which merged with Pepsi-Cola in 1965, introduced its Flamin’ Hot Cheetos in 1991.

City officials couldn’t be immediately reached to say what their economic development plans are for the empty building.

Samantha French, senior human resources director with Frito-Lay, wrote in a Feb. 10 letter filed with the state that the layoffs are due to the “total and permanent cessation” of the company’s warehouse operations at the Rancho Cucamonga location.

French made the filing as part of the EDD’s Worker Adjustment and Retraining Notification process. A WARN notice is required when an employer lays off more than 50 employees or a significant percentage of its staff.

In the latest round of layoffs, affected workers included material handlers, maintenance mechanics, warehouse handlers and sanitizers to ensure machinery adhered to food safety protocols.

We will be shifting these operations to a new distribution center in the local community to better serve our customers and consumers. We are committed to treating impacted employees with the utmost care, including providing pay and benefits continuation based on their years of service, along with transition assistance and career support.

A PepsiCo Foods spokesperson declined to say where Frito-Lay is shifting snack production, or where the new logistics operation hub for Southern California is located.

“We will be shifting these operations to a new distribution center in the local community to better serve our customers and consumers,” according to a PepsiCo statement. “We are committed to treating impacted employees with the utmost care, including providing pay and benefits continuation based on their years of service, along with transition assistance and career support.”

Frito-Lay also has a production plant at 6230 Descanso Ave. in Buena Park and a distribution center at 1500 Francisco St., in Torrance.