“The current scale and inability to economically improve operations has led to the difficult decision to close the facilities,” Tyson said.
On Tuesday, Tyson Foods Inc. announced the closure of two U.S. chicken plants, resulting in the loss of almost 1,700 jobs on May 12.
The closures highlight the ongoing efforts of the largest U.S. meat company to revitalize its struggling chicken business.
The affected plants, located in Glen Allen, Virginia and Van Buren, Arkansas, employ 692 and 969 workers, respectively.
As part of its strategy to maximize the capacity of its facilities, Tyson will transfer chicken demand to other plants.
In a statement, the company cited the inability to improve operations and achieve economies of scale as the reasons for the closures.
Tyson previously faced challenges in fulfilling chicken orders due to limited supplies and labor, leading the company to purchase chicken from other producers to meet demand.