Olymel management made a series of announcements this week as part of measures to reorganise its business lines and optimise operations at its facilities, according to a company-issued press release.

In Quebec’s fresh pork sector, Olymel management announced the closure of its boning and packaging plant in Princeville, Centre-du-Québec. 

The closure impacts 301 employees. They have been given 16 weeks’ notice of termination. The company is rolling out a plan for those who wish to be relocated within the company.

The plant will cease operations on November 10. 

“Today more than ever, it is necessary to continue to rethink our organisation in order to optimise all of our activities," said Yanick Gervais, president and CEO of Olymel. "The fresh pork industry is slowly getting back on track after two years of tumult that forced us to reorganise our operations."

"We explored various avenues for the Princeville plant, but we found that its operations could be handled in our three slaughtering, cutting and boning plants, namely in St-Esprit, in the Lanaudière region, in Yamachiche, in Mauricie and in Ange-Gardien, in Montérégie West," he added. "It is with reluctance that we announce today the permanent closure of the Princeville factory. This decision, difficult but necessary, is part of Olymel's desire to continue our efforts to return to profitability in the sector, for the benefit of our entire organisation."

Paris, Ontario poultry further processing plant to close

Olymel management has also announced the closure of its poultry further processing plant in Paris, Ontario. 

The closure impacts 93 employees. The final date for cessation of operations is set for December 22. Employees who wish to stay with Olymel will be given the option to sign up for a relocation program so they can continue working at other company plants located in the region, within Ontario.

The closure of the Paris plant means that its operations will be consolidated with those of the Oakville plant, also in Ontario, about 75 kilometres away. In the coming weeks, refurbishment work will begin at the Oakville plant, where one of the two production lines currently based in Paris will be installed. The work will require an investment of $8 million and, once completed, will create 62 new jobs, bringing the total number at the plant to 180. The Orenda plant in Brampton will also see its activities grow as part of the restructuring, particularly in tumbling.

“With the Paris and Oakville plants both operating in the poultry further processing sector and located a short distance apart, Olymel found itself running two plants that were working below their respective capacities," explained Gervais. "Consolidating the operations of the two plants in Oakville will put an end to this situation and generate significant gains in efficiency and savings, as well as positive outcomes for the Orenda poultry further processing plant in Brampton and the Sainte-Rosalie plant in Montérégie Est, Quebec."