SAINT-HYACINTHE, QUEBEC — Olymel LP stated its plans to close two plants in the coming months, affecting about 400 jobs in the company.

The Canadian meat processor and distributor explained that it would be closing its pork boning and packaging plant in Princeville, Quebec, with the last day of operations being Nov. 10. The decision will affect 301 employees.

The company said any operations from Princeville would be taken over by three other Olymel slaughter, cutting and boning plants in Saint-Esprit, Yamachiche and Ange-Gardien, Quebec.

“Today more than ever, it is necessary to continue to rethink our organization in order to optimize all of our activities,” said Yanick Gervais, president and chief executive officer of Olymel. “The fresh pork industry is slowly getting back on track after two years of tumult that forced us to reorganize our operations. This decision, difficult but necessary, is part of Olymel’s desire to continue our efforts to return to profitability in the sector, for the benefit of our entire organization.”

The Princeville plant repurposed operations in the last year and shifted to value-added activities, according to the company. 

Olymel also announced the closure of its poultry further processing plant in Paris, Ontario. Around 93 employees will be affected by this decision, with the last day of operations scheduled for Dec. 22. 

As the Paris location closes, Olymel stated that it plans to invest C$8 million into its Oakville poultry operation, which would create 62 new positions. The company said that the Orenda plant would also grow with the restructuring of its poultry business.

According to Gervais, the Paris and Oakville plants were running below their capacities, so the decision was made to consolidate the operations. 

Olymel said it plans to expand its poultry further processing plant in Sainte-Rosalie by taking the equipment from its Paris plant and installing it there to increase capacity. 

In its last statement, the company said it accelerated the closure of its Saint-Simon distribution center and expects operations to stop on Jan. 26, 2024. The decision to accelerate the closure was due to the decline in throughput following a reduction in slaughter volumes at the facility. 

Olymel stated that 15 employees were given notice of termination and offered the opportunity to relocate to another Olymel distribution center or another facility in the Sainte-Hyacinthe region. 

The company said it plans to offer relocation opportunities for workers at other Olymel facilities within Ontario and Quebec. 

These announcements added to the various restructuring moves Olymel made in recent months.

The company said in late May that it would reduce hog production in several units in Western Canada.

Before that, Olymel stated it would close a large hog processing plant in Quebec during April that would layoff around 994 workers.

Then in February, the company stated that it would close two other pork processing plants.