Following its disappointing 2011 financial results, Vion undertook a review of its entire business and has now announced cost-cutting measures which will affect operations in Germany, the Netherlands and the UK, resulting in job losses.
Vion Foods Netherlands has announced a consolidation of pork activities. The Druten plant will close with activities being transferred to Boxtel and Groenlo. Retail production will largely be concentrated at the Groenlo site. These and other intended changes are expected to affect employment for some 340 permanent workers. The consultation process with the works council of Vion Foods Netherlands has already begun.
In Germany, Vion has announced that changes in the production processes and the product portfolio would necessitate a reduction in the number of indirect and production employees at the Wunstorf plant. The number of employees in Hilden would also have to be reduced as a result of the relocation of the pig slaughtering activities and the trimming of the product portfolio. By the end of 2012, more than 290 employees would lose their jobs, some 125 of whom work in support functions.
For the UK, Vion has said that due to the scope and complexity of the business, more time is required to analyze the options.
See the Vion press release here [1].