Following a program of consolidation and rationalization, Pilgrim’s UK, a subsidiary of Pilgrim’s Pride Corporation, is proposing to reduce hog processing operations at the Ashton-under-Lyne plant to four days each week. Even reduced production would allow closure of plants located in Bury St. Edmonds, Suffolk and Coalville, Leicestershire, resulting in a net redundancy of approximately 440 workers.
The Company has not made a firm commitment to close the Ashton site. The decision to reduce operations and eventual termination is based on the age and location of Ashton within a densely populated area precluding any feasible opportunity to modernize or grow the facility. The Company stated “A key part of our work to return to growth includes ensuring we fully optimize our operational footprint”.
The U.K. component of Pilgrim’s Pride Corporation is faced with a recent annual loss partly due to a reduction in the domestic sow herd by 15 percent attributed to declining demand for pork and farmers ceasing production due to high production costs.