Closure of Grupo Bimbo’s Bakery in Lévis, Quebec
Overview of the Closure
Mexican bakery conglomerate Grupo Bimbo has announced the upcoming closure of its facility in Lévis, Quebec. The shut down, scheduled for the first week of July, will unfortunately affect approximately 95 employees.
Shifting Production Efforts
As part of a strategic move to enhance productivity, Grupo Bimbo plans to reallocate the production activities from the Lévis facility to other operational sites that have spare capacity, mainly within Quebec. This adjustment aims to utilize resources more efficiently and cut down overall operational costs while maintaining the high-quality standards the company is known for.
Strategic Reasons Behind the Closure
Grupo Bimbo emphasized that the decision to close the Lévis bakery aligns with their broader objective of optimizing operational efficiency across their network. By consolidating production, the company seeks to boost capacity utilization and achieve cost efficiencies, thereby sustaining its commitment to deliver top-tier products and services to its customers.
Statements from Leadership
Marie-Ève Royer, President of Bimbo Canada, expressed the difficulty of the decision, noting the gradual decline in site utilization and production at the facility over time. “Despite our best efforts to sustain and grow the operation, the decline in production made this tough decision necessary. I am personally committed to mitigating the impact on our employees and will assist in their transition to other roles within the company,” Royer stated.
Opportunities for Affected Employees
In light of the closure, Grupo Bimbo is encouraging the displaced employees to apply for positions at other company locations in the region, including Québec City and Sainte-Marie-de-Beauce, where employment opportunities are available.
Additional Information
Grupo Bimbo remains the largest bakery in Canada, owning several well-known brands such as Dempster’s, Stonemill, Villaggio, and Natural Bakery. This closure is part of a series of strategic moves, including the company’s plans to reduce capital expenditure into the next year following a dip in profits.
The decision is a reflection of the broader industry trends where businesses continuously adapt to changing market conditions and consumer preferences, prioritizing efficiency and sustainability in their operations.
Related: Grupo Bimbo Appoints Rafael Pamias as CEO
