Tyson Foods to close two chicken plants, lay off 1,700 workers

Tyson Foods volition adjacent 2 chickenhearted plants successful May, affecting astir 1,700 employees.

"While the determination was not easy, it reflects our broader strategy to fortify our poultry concern by optimizing operations and utilizing afloat disposable capableness astatine each plant," Tyson said successful a connection to CNBC.

In its latest quarter, Tyson's chicken concern underperformed expectations arsenic its operating income was halved compared with the year-ago period.

The company's plants successful Van Buren, Arkansas, and Glen Allen, Virginia, volition adjacent May 12. Demand volition beryllium shifted to different Tyson facilities. The Wall Street Journal archetypal reported the upcoming closures.

Tyson said it is moving with the affected employees to use for unfastened jobs and relocation assistance to different plants. The Glen Allen works has 692 employees, portion the Van Buren installation has 969 workers.

The nutrient elephantine is the latest nutrient supplier to laic disconnected workers successful an effort to chopped costs.

Beyond Meat and Imposible Foods, some of which marque alternate meats, person chopped much than a 5th of their workforces arsenic request wanes for their products and the companies look to conserve cash. Coca-Cola offered voluntary buyouts to North American workers, portion PepsiCo chopped jobs successful its Frito-Lay and North American beverage units. Spice elephantine McCormick said it would connection buyouts and laic disconnected workers arsenic portion of a program to prevention $75 million.