WHGLY - Smithfield Foods to close a North Carolina pork processing plant affecting 107 workers

2023-10-09 16:40:52 ET

Smithfield Foods, one of the world's largest pork processors, on Monday said it would close one of its plants in Charlotte, N.C., affecting more than 100 employees.

The company, owned by Hong Kong-based WH Group ( OTCPK:WHGLY ), said it would transfer production to its Tar Heel, N.C. facility. Smithfield is the parent of brands such as Eckrich sausages, Nathan's Famous hot dogs, and Farmer John pork products.

"The company will provide financial and other transition assistance to the 107 employees who are affected by this closure and will meet with employees to discuss options including transfer to other Smithfield locations," the pork processor said in a statement .

The company added that it would provide a financial incentive package for hourly employees to remain at Charlotte until the final day of production in December.

The closure of the Charlotte plant comes just over two months after Reuters reported that Smithfield was permanently closing 35 hog farm sites in Missouri and laying off 92 employees in October.

The overall U.S. meat industry has struggled with shrinking margins amid a hit to demand as consumers deal with inflation and higher interest rates. Feed and labor costs have spiraled.

According to Smithfield, the company employs nearly 40K people in the U.S. and more than 10K in N.C.

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