Olymel is making adjustments to its poultry further processing operations as it will close its plant in Paris, Ontario, while expanding its plant in Oakville, Ontario.
The company announced these planned changes to its employees and to the media on September 13.
In a press release, Olymel stated that these decisions are part of a plan to “redevelop and optimize the company's processed poultry sector.”
The Paris plant employs 93 people, and the last day of operation for the facility is expected to be December 22.
The Paris plant employees will receive offers to relocate to the Oakville plant, about 75 kilometers away, or other plants in Port Colbourne or Brampton, also both in Ontario.
"The decision to close the Paris plant definitively was much thought-over, and the choice to consolidate the Paris operations with those in Oakville was taken to ensure efficiency and cost savings. This decision will prevent the projected costly investments needed to update the company's equipment at the Paris plant, notably to eliminate noise and odor disturbances for the neighborhood. After renovations are complete, the Oakville plant will be able to carry out its current operations while integrating the activities from the Paris plant into its production lines. I know that the announcement of the closure is difficult news for the Paris employees. On behalf of the company, I would like to extend appreciation to them for their years of loyal service. Between now and the closure in December, Olymel will make every effort to help in the relocation or transition to employment in another sector," said Olymel President and CEO Yanick Gervais.
Following the closure of the Paris plant, Olymel will assess all options for the Paris building, which includes the possibility of selling it.
Changes at Oakville, Sainte-Rosalie plants
In order to expand the capacity at the Oakville plant, Olymel is investing CA$8 million (US$5.92 million).
This expansion project will involve “major renovations starting in the coming weeks,” the company announced.
One of the two production lines from the Paris plant will be installed in Oakville, and once these changes are made, the Oakville plant will require 62 additional employees.
Other equipment from the Paris plant will be transferred to the company’s poultry further processing plant in Sainte-Rosalie, Quebec. According to the press release, in doing so, Olymel will save money it would otherwise have spent for new equipment. The company did not offer specific information concerning whether the equipment transfer would lead to new jobs in Sainte-Rosalie, but it did say the changes there would be “improving employment prospects,” as well as increase production capacity for “certain poultry products.”
Other recent changes for Olymel
Olymel, the meat and poultry subsidiary of Sollio Cooperative, has underwent multiple closures in recent years as the parent company attempts to recover from financial struggles. Sollio lost CA$337.5 million in 2022.
Prior to now, however, the cuts have been limited to its pork operations.
In May, Olymel announced its intent to close five sow units in Alberta and one in Saskatchewan.
Prior to that, Olymel announced it would permanently close its hog slaughtering and cutting plant in Beauce, Quebec; pork further processing plants in Blainville and Laval, Quebec; its pork further processing plant in Henryville, Quebec; and its pork processing plant in St-Hyacinthe, Quebec.
Olymel presently has 24 pork and poultry processing plants in Canada, as well as five distribution centers. It operates in the provinces of Quebec, Ontario, Alberta, Saskatchewan and New Brunswick.
The company markets its products mainly under the Olymel, Lafleur, Flamingo, La Fernandière, Pinty's, Tour Eiffel and F. Ménard brands.
