February 4, 2023

Olymel to close two pork plants in Canada

Canadian Pork group Olymel is closing two of its pork-processing factories in Blainville and Laval, both close to Montreal city, as part of its reorganisation plan, Just Food reported.

Both plants will shut down on April 28, resulting in the termination of 170 employees who have been given 12-week notices. The company said it will offer employees the opportunity to relocate.

The closing of the two factories follows the closure of another plant by Olymel in November last year, and additional administrative job cuts. In the past few months, over 220 jobs have been cut by the company as part of its effort to streamline the business. 134 people are employed at the Blainville plant.

The two factories produced hams, pates, and deli meats under a variety of brand names, including Nostrano and La Tour Eiffel. Olymel, which is majority-owned by Canadian cooperative Sollio Cooperative Group, said that production of these brands will continue at other plants.

Yanick Gervais, president and CEO of Olymel, said the downsizing is due to unfavourable economic conditions, but has previously highlighted falling pork volumes.

He said the decision to close the company's processing plants in Blainville and Laval is part of a reorganisation that began more than a year ago, adding that other plants are able to produce the same products and achieve savings and efficiencies.

The company, which employs approximately 15,000 people, has annual sales of CAD 4.5 billion (~US$3.35 billion; CAD 1 = US$0.75) and operates meat plants in various provinces across Canada, including Quebec, Ontario, New Brunswick, Alberta and Saskatchewan.

-      Just Food