Tyson Foods to cut 228 jobs near Chicago as they refuse transfer
Tyson Foods has confirmed its plans to lay off 228 corporate employees in Illinois who have declined to relocate to the company's headquarters in Arkansas. The meatpacker, aiming to reduce costs, will proceed with the workforce reduction as part of its strategic measures.
According to Reuters, Tyson has announced its intention to eliminate a total of 228 employees, with 177 from its downtown Chicago office and 51 from its suburban location in Downers Grove, Illinois. The layoffs are scheduled to begin on July 31.
As of last October, the offices housed approximately 500 employees. During that time, Tyson announced its intention to consolidate corporate offices, which faced resistance from employees. Some workers have already left to pursue opportunities with other companies. Tyson has been confronting challenges such as high cattle procurement prices and reduced meat demand from financially strained consumers.
Tyson has stated that the 228 employees who will be laid off are those who will remain with the company until the closure of the Chicago and Downers Grove offices. "Those impacted were due to the consolidation of corporate offices," the company said.
Out of approximately 1,000 workers, Tyson will eliminate approximately 490 corporate employees who chose not to relocate, which includes the layoffs at another office in Dakota Dunes, South Dakota.
According to Tyson, relocating employees to its headquarters in Springdale, Arkansas, will enhance collaboration and facilitate better decision-making.
Earlier this year, the company took the separate actions of closing two chicken plants in the United States, resulting in the displacement of nearly 1,700 workers. Additionally, in April, Tyson announced plans to reduce approximately 10% of corporate jobs and 15% of senior leadership positions.
As of October 1, according to regulatory filings, Tyson had a total of approximately 124,000 employees in the United States. This figure includes 118,000 individuals working at non-corporate locations such as production plants.
