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Layoffs pending as Smithfield Foods ends contracts with Utah hog farms

pig farm
Posted at 10:03 AM, Dec 06, 2023
and last updated 2023-12-06 12:03:22-05

BEAVER COUNTY, Utah — Up to 70 jobs will be eliminated in Utah hog production operations at Smithfield Foods as the company ends contracts with more than two dozen hog farms in Beaver County.

Smithfield Foods announced the termination of contracts was motivated by challenging hog production market conditions.

In total, contracts with 26 hog farms in Utah will be impacted by the decision.

An exact number of jobs that will be impacted has yet to be determined but Smithfield Foods reported up to one-third of the 210 currently employed individuals at the Utah hog production operations could be laid off, meaning 70 jobs could be on the line.

While news of layoffs is especially challenging during the holiday season, the company said it would offer relocation opportunities for impacted employees and provide help in moving to a new job.

"Our industry and company are experiencing historically challenging hog production market conditions," Shane Smith, president and CEO of Smithfield Foods said in a statement. "Smithfield continues to take steps to improve operational efficiency and optimize our hog supply chain. These actions have included rebalancing production with East Coast harvest capacity, reducing our sow herd in Missouri and closing finishing operations in Utah. These are difficult decisions, but they are necessary to help our company remain competitive in this operating environment."

Smithfield Foods is the largest employer in Beaver County and one of the largest hog operations in the entire country.

In June 2022, the company announced it would be downsizing, prompting an emergency meeting in Beaver County and conversations between top Utah leaders.The county declared a state of economic emergency when the announcement was made in 2022.