Austin Coca-Cola plant closes doors

Published 12:00 am Wednesday, November 13, 2002

The Austin Coca-Cola Bottling Plant has closed, effective Nov. 1, according to Kevin Morris, Midwest Coca-Cola Bottling Company vice president for public affairs.

All sales and distribution employees have accepted jobs at the Rochester plant, he said. Two part-time office workers did not accept positions and were given severance packages, Morris said.

The Austin building was not a part of the sale to Midwest Coca-Cola and said he does not know who owns it, he said.

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Chuck Wilson, former owner of Austin and Rochester Coca-Cola operations, said he rented the building to Midwest Coca-Cola for three months. He still owns the building.

Wilson said although the jobs are in Rochester, many employees work from home in Austin. Others drive the same distance to Rochester they did to Austin because they live in Taopi or Adams, he said.

"They've kept all the people here, all the people still live in Austin," Wilson said.

Morris said Tuesday he thought the employees knew the closure was a possibility and that their positions may be moved to Rochester. Wilson said the plan has always been to move the jobs to Rochester.

On Oct. 4, however, Morris said the company had not yet made a decision at that time on whether to shift Austin operations to Rochester.

Wilson sold the plant after his general manager decided to retire. He sold the Austin and Rochester operations to Midwest Coca-Cola, out of Eagan, in August.

Wilson said he is happy with the new owners of the plant and said they treat their employees well. The benefit package they have offered the employees is good, he said.

Larry Kelly, president of the Paper Allied-Industrial Chemical and Energy Workers International Union Local 7-0578 that represented the Austin workers, expressed disappointment at the Austin plant's closing.

However, Kelly, who negotiated on behalf of the nine workers to keep their jobs said, "I'm happy everyone at the Austin plant did receive a job offer from the new owners."

The union no longer represents the nine employees who worked in Austin, because Midwest Coca-Cola did not recognize it.

Morris said even though distribution is not located in Austin, Midwest Coca-Cola will continue to provide service customers in the area. Morris also said Midwest Coca-Cola will still be involved in Austin events and activities.

"Although we will not be a physical presence in Austin, we will be active in the community," Morris said.

Coca-Cola has been involved in numerous community events since it opened in Austin in 1924. Wilson had owned it since 1947.

Recently the Chamber of Commerce gave Wilson the Lifetime Achievement Award for his service to the community throughout the years.

Sandy Forstner, director of the Chamber of Commerce, said Coca-Cola is a member of the Chamber and will continue to be even though it is out of town.

He said he had not heard of the closing before Tuesday and said he is disappointed. "It's never good news when a business leaves."

Lee Bonorden and Cari Quam can be reached by e-mail at newsroom@austindailyherald.com