Olymel, a prominent poultry and pork processor, has announced the closure of a meat facility in Saint-Jean-sur-Richelieu, Canada, due to declining production volumes. This decision will impact all 135 employees at the plant, which is set to cease operations on 19 July. The company cited the plant operating at only 40% of its capacity as the reason behind the closure.
Yanick Gervais, the CEO of Olymel, explained that this move is part of a strategic shift in production volumes and addresses significant overcapacity at the facility. In a statement, the company emphasized that this initiative aims to enhance its business model and boost its performance to solidify its position as a leader in Canada’s pork and poultry industry.
Olymel reassured that there will be no job losses resulting from this closure. The company has been restructuring its operations, with this being the latest in a series of facility closures. In previous announcements, Olymel closed a poultry processing plant in Paris, Ontario, and implemented job cuts at its Red Deer plant in Alberta.
The affected employees from the Saint-Jean-sur-Richelieu facility will be offered opportunities at other Olymel sites in the region. The company plans to redistribute the production capacity to its other plants to achieve efficiency gains. Olymel remains committed to retaining as many employees as possible within the organization.
Headquartered in Saint-Hyacinthe, Olymel operates production and processing facilities across Quebec, Ontario, Alberta, Saskatchewan, and New Brunswick. With an employee count of over 12,000, the company generates annual sales of approximately C$4.5bn ($3.28bn) and markets its products under various brand names.
The company’s decision to close the Saint-Jean-sur-Richelieu plant aligns with its goal of optimizing operations and maintaining competitiveness in the food and beverage industry. By consolidating production at other facilities, Olymel aims to streamline its processes and drive cost-saving measures for long-term sustainability and growth in the market.
