McCain Foods has blamed the economic downturn for its decision to reduce production and cut jobs at a site in the US.

The company is to shake up its production footprint in the US to boost efficiency and will axe 126 posts at its facility in Fort Atkinson, Wisconsin.

A McCain spokesperson said the group was “reorganising” its production of appetizers and switching production of its speciality items to a plant in Appleton, Wisconsin.

“From now on, the Fort Atkinson plant will only manufacture onion products. This means that our three production lines will be reduced to two, thus necessitating a downsize in the employee base,” the spokesperson told just-food today (2 June).

The spokesperson insisted the move would ensure McCain “maintains our competitiveness and ensure the continuity of our operations”.

She added: “The current economic conditions mean that we had to  make difficult decisions to ensure that our business stays healthy in the long run.”

The restructuring process is expected to be completed by September.