Canadian poultry and pork producer Olymel is eliminating 177 management positions, the company announced on October 18.
Of these 177 positions, 120 of them became vacant within recent months, while the 57 employees affected by the company’s decision were notified on October 17 and received layoff notices.
While Olymel has operations in Quebec, Ontario, Alberta, Saskatchewan and New Brunswick, the majority of these eliminated positions are in Quebec.
In announcing the cuts, Olymel said in a press release that the decision was made after carefully considering the effectiveness and redundancy of the company’s administrative support functions. Following a review of the tasks conducted by the people in these positions, it was determined that it was necessary to streamline the management staff.
The company believes the decision will help eliminate duplicate tasks and lead to savings and efficiency gains, which will better help Olymel better meet the current market conditions and achieve strategic business objectives.
"The effects of the COVID-19 pandemic and a historic labor shortage at our facilities, market and supply chain disruptions, raw material price inflation and an uncertain global economic landscape are all factors that make a case for optimized company business models. Olymel is no exception. After careful analysis, the difficult decision to significantly reduce our management staff is an answer to the need to adapt to unpredictable market conditions and to better position the company for the future. On behalf of all my colleagues, I want to extend our deepest gratitude to each of the managers affected by this decision for their service to the company over the years. Olymel will do everything possible to ensure that these employees are supported as they continue their careers," said Yanick Gervais, president and CEO, Olymel.
Gervais became president and CEO in November 2021, succeeding the late Réjean Nadeau. Prior to that, Gervais served as senior vice president, operations at Olymel.
Olymel, which employs about 14,000 people is a subsidiary of Canada’s Sollio Cooperative.