Facility will close within 18 months, impacting 380 jobs
Toronto – Campbell Soup Company has announced that it will end manufacturing at its west-end Toronto facility. The company says the move is part of its plans to “improve the operational efficiency of its North American thermal supply chain network.”
According to the company, the decision to cease production in Toronto is a result of its multi-year, cost-savings initiative, as
well as excess capacity in its network, in part due to declining soup sales. The Toronto facility opened in 1931, and is the oldest plant in the Campbell network. Because of its size and age, the company has determined that “it cannot be retrofit in a way that is competitively viable.”
The plant will close in phases for up to 18 months, while soup and broth production will be consolidated into Campbell’s U.S. facilities in Maxton, NC; Napoleon, Ohio; and Paris, Texas. The move will impact roughly 380 manufacturing jobs.
Campbell’s Canadian headquarters and commercial operations will relocate within the Greater Toronto Area (GTA), and will include a Food Innovation Centre.
“The decision to stop producing soup and broth in Canada was a difficult one,” said Mark Alexander, president of Campbell’s Americas Simple Meals and Beverages, in a statement. “After a thorough review, we decided this was the best course of action for our business. We are operating in an increasingly challenging environment as our industry’s consumer and retail landscapes continue to change dramatically. This decision in no way reflects on the talent or dedication of our team at our Toronto facility, and we are committed to assisting them through this difficult transition.”
Campbell says it will continue to make soup and broth recipes tailored to Canadian tastes. “Despite this decision, Canada is important to Campbell,” said Ana Dominguez, president of Campbell Canada, during a meeting with employees. “We are remaining in Canada and will continue to make important contributions to the food industry in this country.”