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Hormel Foods Plans to lay off 250 corporate and sales employees As part of corporate restructuring.
The Spam and Planters manufacturer said it would close a number of vacancies and cut certain positions across its office-based workforce. Hormel also implemented a voluntary early retirement program for some of its non-factory employees.
“This move is designed to carefully align resources with the organization’s strategic priorities, support future growth and strengthen our overall business,” the company said in a statement.
Hormel Foods President John Ghingo said the company is focusing its resources on areas such as technology, innovation, food safety and quality.
“Hormel Foods remains focused on growth, which requires continued investment,” said Ghingo. “We are confident that our continued investments will strengthen our brand, improve efficiencies and ensure Hormel Foods remains competitive and responsive to the needs of our consumers and customers.”
The company expects to incur restructuring costs of between $20 million and $25 million through pension benefits, cash severance pay, stock compensation expense and employee benefit expenses.
Like other CPG companies, Hormel is struggling with declining revenue and rising costs. Last week, executives said the Minnesota-based company was feeling: Impact of inflationary pressures There have also been isolated disruptions, including avian flu and an Arkansas peanut butter factory fire. Hormel also announced. CFO’s resignationAnd it recently brought back former CEO Jeff Ettinger. temporarily in that role.
The food and drink sector has been hit hard by job cuts in 2025 as companies aim to increase costs to meet slowing demand.
nestle, general mills and molson coors It is one of the companies that eliminated positions. Nestlé said in October it would lay off 16,000 employees to accelerate business recovery. The reduction represents approximately 6% of the company. The global workforce is 277,000.
