DENMARK: Danish Crown restructuring to hit jobs
Danish Crown cuts jobs in restructuring move
Danish Crown has said it will restructure its meat processing operations in Denmark in a move that will impact more than 820 jobs.
The Danish meat co-op said yesterday (16 January) it is taking a number of measures designed to make its pork processing capabilities more competitive. It wants to bring slaughtering capacity in line with the number of pigs for slaughter produced by its members.
"We have spent the past few months turning every stone to find out how we can responsibly solve the current challenge of surplus capacity while simultaneously keeping a close eye on costs in our Danish production," Danish Crown CEO Kjeld Johannesen said.
The board of directors has recommended Danish Crown's deboning facility and subsidiary Tulip Food Company's ready meals plant in Faaborg be closed. The moves will hit around 470 jobs.
The company is also starting negotiations with employees and stakeholders at slaughterhouses in Skærbæk and in Bornholm in a bid to establish a "more sustainable cost structure". Danish Crown said it is seeking "alternative solutions" to make production at Bornholm financially sustainable. Likewise, slaughtering operations in Skærbæk must become more cost-effective, the firm insisted.
"We obviously need to be able to receive the members' sows when they need to be slaughtered. However, especially in Skærbæk, sow slaughterings are costly and not competitive, and this needs to be looked at from a strategic point of view. Either we have to minimise the activities, or production has to be smarter and more streamlined," Jesper Friis, CEO of Danish Crown's pork division, said.
Danish Crown did not confirm how many jobs were on the line in Skærbæk and on Bornholm.
As part of the restructuring plan, Danish Crown will also downwardly adjust the capacity of its pig slaughter houses. The capacity adjustment will affect approximately 350 employees at "several" production facilities, the group revealed.
Canadean's "Danish Crown Group: Consumer Packaged Goods - Company Profile & SWOT Report" contains in depth information and data about the company and its operations. The profile contains a company ove...
The report provides a review of the mergers and acquisitions (M&As), partnering deals, and agreements entered into by companies active in the global meat market during February 2014....
This report analyzes the worldwide markets for Meat (Fresh and Processed) in Thousand Metric Tons by the following Product Segments: Pork, Lamb & Goat, Beef & Veal, and Poultry. The report provides se...
Plimsoll’s UK Bacon Suppliers (UK) analysis is the most definitive and accurate study of the UK Bacon Suppliers (UK) sector in 2013. The report is split into two sections and uses both a written and ...
- Comment: Nestle reacts to world of 3G and Buffett
- Why it is too early to call Unilever food revival
- France takes big step to uniform FOP labels
- What the analysts say: The verdict on Danone's Q1
- How will Flowers Foods grow in speciality bread?
- Unilever food, refreshment sales rise
- Fonterra says rain needed to maintain milk supply
- Organic food sales in US up 11% in 2014
- UPDATE: Danone CEO upbeat on 2015 growth
- Nestle in "exclusive" Davigel talks with Brakes