Kellogg's to Invest in Lancaster Plant Amidst Downsizing Plans
Modernizing Supply Chains and Increasing Production
Kellogg's has announced a significant investment in its Lancaster plant as part of a broader plan to consolidate operations and modernize its supply chains. The company intends to invest between $450 million and $500 million in its hometown plant of Battle Creek, Michigan, while downsizing other facilities, including one in Lancaster, Pennsylvania.
Impact on Local Workforce
The downsizing at the Lancaster plant is expected to impact hundreds of jobs, sparking concern among local employees and union representatives. Rob Eafen, president of Local 252G and union representative for Kellogg's employees, has expressed concerns about the impact on his members and the community.
Consolidation and Restructuring
Kellogg's plans to consolidate operations in order to improve efficiency and lower costs. The company has experienced a decline in recent years, leading to the need for restructuring and downsizing. This investment in the Lancaster plant and the consolidation of other facilities are part of the company's long-term strategy to remain competitive in the food industry.
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