Olymel management has announced the definitive closure of its Saint-Jean-sur-Richelieu plant, which processed mainly poultry products, but also a few pork products.

This decision comes against a backdrop of falling production volumes, which has led the plant to operate at only 40% of its operational capacity. A reorganization of production within the Olymel family will enable operations to be redeployed to neighboring plants with residual capacity to handle

these volumes.

Unfortunately, this closure will affect a total of 135 employees, including 23 non-regulated employees and 30 employees with temporary foreign worker status. The date for the end of operations and definitive closure of the plant has been set for July 19, bringing the closure notice period to 13 weeks.

Employee relocation

Olymel will shortly be implementing a relocation plan to enable employees of the Saint-Jean-sur-Richelieu plant who so wish to be relocated within the company to neighboring plants with labor needs, notably in Saint-Jean-Baptiste (Unidindon), Saint-Damase, Ange-Gardien or Boucherville (distribution centre). In these cases, years of seniority will be recognized for compensation and benefits purposes once the approval of the unions at the plants concerned has been obtained. For employees with temporary foreign worker status attached to this plant, Olymel will take steps with federal and provincial authorities to enable them to apply for relocation to another Olymel facility.

"The decision to close the Saint-Jean-sur-Richelieu plant is part of a major shift in production volumes and a situation of significant overcapacity at the plant. Other Olymel facilities located nearby, where we have residual capacity, will be able to handle these volumes with a view to achieving savings and efficiency gains. This is a difficult decision for the employees affected, and one we regret having to make. We are aware of the value and expertise of our employees at the Saint-Jean-sur-Richelieu plant, and we are determined to keep as many of them as possible within the Olymel family. That's why we're going to put in place a solid relocation plan that will enable those who wish to do so to pursue their careers within our organization," said Yanick Gervais, Olymel's President and CEO.

Olymel is Canada's leading producer, processor and distributor of pork and poultry meats. The company has production and processing facilities in Quebec, Ontario, Alberta, Saskatchewan and New Brunswick, and employs over 12,000 people. Annual sales are in the order of $4.5 billion. The company markets its products mainly under the Olymel, Lafleur, Flamingo, La Fernandière, Pinty's, Tour Eiffel and F. Ménard brands.