Industry: Philadelphia soda tax killing sales, layoffs loom

[Sherman A1]

PHILADELPHIA (AP) — Some Philadelphia supermarkets and beverage distributors say they’re gearing up for layoffs because the city’s new soda tax has cut beverage sales by 30 percent to 50 percent, worse than the city predicted.

An owner of six supermarkets tells The Philadelphia Inquirer he expects to cut 300 jobs, and a soft drink distributor predicts a 20 percent workforce reduction.

City officials expect business to rebound once customers get over sticker shock. They suggest the industry may be engaging in fearmongering to stop the spread of the tax to other cities.

Mayor Jim Kenney pushed through the 1.5-cent-per-ounce tax on sweetened and diet beverages to pay for nearly 2,000 pre-kindergarten slots and other programs. He tells the Inquirer he didn’t think it’s possible for the industry “to be any greedier.”

http://wdtn.com/2017/02/22/industry-philadelphia-soda-tax-killing-sales-layoffs-loom/?cid=facebook_WDTN-TV

[bunnies]

1. That supermarket owner is full of shit.

Soda is stocked by vendors, not store employees. And if his success depends that much on paltry soda profits, he's got bigger problems.

[Sherman A1]

2. They are probably both full of it

Both the Vendors and the Grocery Store Owner/Manager. Yes, the vendors do the soda stocking, but hours are generally cut this time of year in grocery. Certainly they are seeing a sales decline in that category. No mention is made if there is an uptick in other beverages or if all of them are down across the board, which I suspect they are not. If people are not buying soda, they are likely buying more bottled water, coffee, tea bags, juices, etc.

[bunnies]

3. I was a floral vendor for a few major grocery stores...

When Hostess went out of business. And other the people flipping out over the lack of twinkles on the shelf, it didn't affect the stores in the least. Like you said, people just chose something else.

Come cookout time, no one will give a damn if the soda costs a few cents more.

The great mongering drives me batty.

[Sherman A1]

4. I remember our last delivery

Of Wonder Bread. It was really sad to see the driver leave that day knowing they wouldn't be back.

[bunnies]

5. It's crazy the bonds we make in grocery stores.

Isn't it? I remember that day too. It was horrible. At every store I visited, there was someone to say goodbye to.

The soda guys though? They'll be fine.

[Sherman A1]

6. Agreed

But one spends so much of the day doing the work and interacting with such a diverse and sometimes "interesting" group that it's bound to happen. How many friendships and more have sprung from the industry?