Cavendish Farms laying off 60 people from New Annan plant
NEW ANNAN — Cavendish Farms, part of the Irving Group of companies, announced Thursday that 60 people have been laid off from its potato processing plant in New Annan.
The United Food and Commercial Workers Union ( UFCW), which represents the facility’s unionized workforce, also reports that as many as 33 more employees would be affected in other ways, such as being moved into lower- paying positions or switching work crews.
In a statement emailed to media, the company said the layoffs are in response to increased production capacity from North American and European competitors.
Ron Clow, vice- president of Cavendish Farms, said the company has been taking a hard look at its operations at the plant of late, and these layoffs were deemed necessary to keep the facility competitive.
“We identified some areas that demonstrated a clear and present need to improve efficiencies and reduce costs. This has meant some tough decisions,” said Clow.
Every effort was made to reduce the amount of people being laid off, he added, by offering early retirement options and reassignments.
Regrettably, he said, that wasn’t enough to reach their target reductions.
“Human Resources is providing support with outplacement services and assistance with employment insurance claims. We are making every effort to assist those impacted with early retirement and severance packages, exceeding the requirements of our collective agreements and provincial regulations,” he said.
Cavendish Farms in New Annan has employed more than 700 at its peak and operates year- round.
Craig Walsh, union representative with UFCW Local 864, said he was informed of the layoffs by the company at 6 a. m. Thursday.
The loss of employment for the area is huge, he said, as the layoffs represent more than 10 per cent of the plant’s unionized workforce.
Thursday’s news has left a lot of people wondering what to do now, he added.
He expects to hear more from the company in the coming days.
“The folks who are left behind are wondering if this is going to be it, and the folks who are gone are just wanting to know what their options are. I’m sure there will be a pile of resumés going out in the next little while,” he said.