Butterball, a prominent US-based turkey processor, plans to close its Jonesboro, Arkansas processing plant in 2025.
This closure will directly impact approximately 180 employees.
On December 4, the company issued a Worker Adjustment and Retraining Notification (WARN) to local authorities, alerting them of the impending closure.
Butterball has announced that production will be redirected to other facilities within its manufacturing network to maintain operational efficiency.
Company CEO and President Jay Jandrain described the decision as “difficult” as it significantly affects “about 180 team members and their families.”
The Jonesboro processing facility specializes in handling the further processing of turkey products that have already been harvested and initially processed at other facilities.
In January 2021, the company announced plans to invest $8.7 million in its facilities located in Ozark and Huntsville, Arkansas.
The Jonesboro plant will remain operational until February 3, 2023.
Butterball confirmed that workers will continue to receive their pay through February 3, provided they work until their scheduled end of service date in accordance with the WARN Act.
Employees are also eligible for a severance package, plus medical benefits extending until the end of February.
In collaboration with Arkansas Workforce Services, Butterball is committed to providing workforce support services, which include job fairs, resume-building workshops, and interview preparation classes.
This announcement arrives amid a broader trend of layoffs within the American meat and agri-food sectors.
In a related development, US meat giant Tyson Foods is scheduled to close three facilities in its domestic market as part of a strategy to “increase efficiency.”
The closures will encompass two sites in Pennsylvania and one in Kansas, affecting over 1,000 workers collectively.
Tyson’s two facilities in Philadelphia are set to close by the end of January, impacting 229 employees.
Moreover, Tyson will shut down a beef and pork operation in Emporia, Kansas, in February, which employs upwards of 800 workers.
Simultaneously, agri-food leader Cargill plans to reduce its global workforce by 5%, which translates to around 8,000 jobs.
Although Cargill has not disclosed specific details, the company stated that the workforce reductions form part of a “long-term strategy” initiated this year.