BRF laying off 1,400 workers at Chapeco poultry plant
Latest furloughs follow earlier layoffs at other BRF plants in Brazil
BRF will lay off about 1,400 workers at its poultry plant in Chapeco, in the Brazilian state of Santa Catarina.
According to a report from Reuters, the company intends to furlough staff members that work on the chicken slaughtering and processing lines at the plant, effective August 29. The layoffs are expected to last for up to five months. A union representing the workers reportedly confirmed via a Facebook post that it had agreed to the furloughs.
BRF, is the third largest poultry company in the world, trailing only JBS and Tyson Foods. The company had earlier in 2018 laid off workers at other plants in Brazil.
In late June, the company revealed that it would furlough 1,400 workers in Chapeco, due to hardships brought on by a trucker’s strike. Other workers were also laid off in Concordia, Lajeado and Serafina Correa as a result of the strike. In total, about 5,600 employees were affected.
In April, BRF laid off about 3,600 workers at its facilities in Rio Verde and Carambei. At the time those layoffs were announced, it was estimated that they would last about 30 days.
Prior to that, about 3,000 employees were laid off at its poultry processing facility in Capinzal.
The company has recently restructured and undergone major personnel changes in its executive leadership and its board of directors, following poor financial performances during fiscal year 2017. BRF concluded its 2017 fiscal year with a net loss of BRL1.2 billion ($371 million).
Also, in an effort to improve its financial situation, the company has announced plans to divest of operational units in Europe, Thailand and Argentina.
BRF’s key chicken brands are Sadia and Perdigao. In addition to being a leading broiler company, BRF, formerly known as Brasil Foods, is also a major turkey, pork and animal feed producer.