FrieslandCampina is set to cut more than 180 jobs in the Netherlands in a bid to make its domestic production “more efficient, sustainable and future-proof.”
The Dutch dairy cooperative is to close a cheese facility in Born and move production to another 280km further north in Workum.
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The company also intends to close one part of its site in the northern city of Leeuwarden, which makes milk products.
FrieslandCampina said some 186 jobs would go.
Last December, the co-op set out plans to cut more than 1,800 jobs over the next two years to cut costs and boost profits.
David Cutter, FrieslandCampina’s chief supply chain and R&D officer, said: “FrieslandCampina must continue to operate cost-effectively, sustainably and in a future-proof manner. This is why we are always looking for opportunities to optimise our production network.
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By GlobalData“We are aware of the significant impact that the announced steps will have on our employees and will support them as much as possible in finding new employment, either within or outside our organisation.”
The Born cheese facility will close by 10 May 2025, leading to 99 jobs being cut.
Production of sweetened condensed milk at the Leeuwarden site will end by 1 June 2026.
Manufacturing will be outsourced to a site in the Dutch town of Bolsward run by Germany-based dairy group Hochwald. In return, FrieslandCampina will produce evaporated milk in Leeuwarden.
Other products made at the part of the Leeuwarden site set to be closed will be moved to other FrieslandCampina plants.
The changes will lead to the elimination of 87 jobs at the Leeuwarden site, which employs 927 people.
In 2023, FrieslandCampina generated a net loss of €149m ($151.1m), compared to a profit of €292m in 2022. Operating profit slid 84.1% to €75m. Revenue fell 7.1% to €13.1bn. When FrieslandCampina reported the results in February, it said 2023 was characterised by “difficult market conditions”, replete with “one-off restructuring costs”.
