Pennsylvania medical cannabis grower and processor Calypso Enterprises is asking the state to give “fair relief” to independent marijuana companies after laying off 55 workers at its Erie facility. Calypso, which announced the layoffs in a press release, cited a “series of events that forced the layoffs.”
Nearly 75% Of Its Employees Have Been Furloughed, According To The Erie Times-News.
“Calypso is one of the few remaining independent licensees in Pennsylvania’s medical marijuana program and, as such, has experienced significant market pressure that has forced it to scale back its operations beginning in August 2021.
According to a press release, Calypso “sought a fair remedy” from the state health department and Congress and “continued to pursue that path.” In a separate statement to MJBizDaily, a representative for Calypso said the company “has no problem with a multi-state cannabis operator operating in Pennsylvania.
Medical Marijuana Program To Be In Collapse
Rather, the Department of Health and Human Services (Pennsylvania) has granted exclusive control because the regulation has not been enforced,” said Laura Gunchon, vice president of Calypso’s parent company Erie Management Group. said in a statement. Guncheon said that her MMJ law in Pennsylvania “allows the Medical Marijuana Advisory Board to issue additional permits, and equitable relief is to make independent permit holders vertical operators.”
Calypso’s layoffs come just weeks after another MMJ producer in Pennsylvania, Hanging Gardens, laid off dozens of workers and cut the hours of others. Later, Hanging Gardens announced that it would sue the state for state-sanctioned anti-competitive business practices. Both Calypso and Hanging Gardens received medical marijuana production licenses in 2018.
Monopolist Control” Of The Market By Multi-State Operators
These big corporations, they’re coming in, taking over, and controlling the area. We need to break through that and look for local employees and local companies that are doing their best to provide good service, good products, and employees who are neighbors.
We are Very disappointed. We had heard that things were not going well. Rep. Pat Harkins, an advocate for medical marijuana, told Erie News Now. Harkins said local producers have suffered as pharmacies outsource their products from elsewhere. “This comes down to a group of out-of-state producers trying to dominate the market. Clearly today we see them crowding out local producers. Help them in the long run.” I have to do something,” he said. The company blamed a “series of triggering events” that required the cuts.