Published Date : Nov 05, 2015
Kraft Heinz stated that it will close seven factories, which are currently fully functional, in the next two years in North America. The closing of these factories is announced as part of downsizing, which will take away 2600 jobs. These include factories that produce both foods and beverages.
As stated by a company spokesperson earlier in this week, in the U.S., Kraft Heinz will close production facilities in San Leandro and Fullerton in California state, Federalsburg in the state of Maryland, Campbell in New York, Lehigh Valley in Pennsylvania state, and in Madison in Wisconsin state. In Canada, the plant slated to close is in St Mary’s, Ontario. The dropping sales is forcing the company to take this step. The closing of production units will happen across a few states in the United States. The closing of the food and beverage production plants s happening in the move to downsize the workforce.
The closure of these production facilities will happen in the next 12 to 24 months. In addition to this, the company also has plans to close some operations in Davenport, Iowa. In accordance with this, the meat processing plant at Davenport will be closed and production will move to a new facility that will be built close by. Another plant is slated to close at St Mary’s in Ontario in Canada. The closing of the
Earlier in the year, Kraft and Heinz came together and merged to form Kraft Heinz. The new company Kraft Heinz, which is co-headquartered both in Pittsburgh and Chicago made an announcement earlier in August. The closing of the Davenport meat processing plant will move production to a nearby facility that will be built later nearby. As per the announcement made in August, 2500 non-factory jobs cuts will happen following the merger.