Cargill Cuts Guelph Meat Plant Transportation Services in Effort to Remain Cost Competitive, Resorts to Outsourcing Instead
By Amanda Brodhagen, Farms.com
Cargill announced that effective February 2013 that it will begin to outsource its transportation services at its Guelph, Ontario meat processing facility. The decision will impact approximately 50 union salaried employees.
The decision was based on Cargill’s efforts to operate its business in a cost competitive manner – while increasing efficiency when delivering to customers.
“The Eastern Canadian retail sector continues to be one of the most competitive in North America, and we at Cargill have an obligation to deliver service to our customers in the most economical manner possible,” said Matt Gibney, General Manager at Cargill Meat Solutions.
Cargill has said that they have identified a third party carrier for its transportation service. However, the company hasn’t disclosed who the new carrier will be. This move will not impact the company’s beef processing plant in High River, Alberta.