Smithfield Foods announced Friday that it will close most of its operations in Beaver County. (Stuart Johnson, KSL-TV)
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MILFORD, Beaver County – Smithfield Foods announced Friday that it will close most of its operations in Beaver County, prompting a shout from the rural community.
County officials say the company is the largest company in the area and say the closure will affect more than 250 jobs, a figure a Smithfield spokesman refutes.
During an emergency meeting after the announcement, county and city leaders expressed fears that the closure could create a knock-on effect on the local economy. Southwestern Utah County has a population of about 6,500 people, according to the United States Census Bureau.
“My family was able to return to Beaver County 15 years ago because I was able to work at Smithfield Foods, so I feel a deep empathy with these colleagues, their families, the contractors, the hired producers, their families and all affected businesses., our school district partners, “Beaver Mayor Matt Robinson said.
The Beaver County Commission declared a state of economic emergency.
“It affects a lot of family, friends and everything,” said County Commissioner Mark Whitney. “We can really feel in our hearts and souls how many people can devastate this.”
Whitney said county leaders have been talking to state and federal leaders about the situation.
Leaders of the emergency proclamation called for “all municipal, state and national governments and organizations to help the county by providing resources to explore ways to maintain the operation of pigs in Beaver and Iron County and provide the processing of ‘a responsible and cost-effective way.’
County leaders noted that there is federal and state funding for these situations.
When a resident asked if workers could set up a stand-alone packaging plant, Whitney said the county has no workforce to do so. He said leaders plan to work “collaboratively” with Smithfield to find solutions to move forward.
Smithfield Foods announced Friday in a press release that it will stop all harvesting and processing operations in Vernon, California, early next year and plans to “align its pig production system by reducing its sow herd to its western region “.
This includes downsizing their sow herd in midwestern Utah and possibly leaving their farms in Arizona and California, according to Smithfield Foods. The company said it was taking those steps because of the “rising cost of doing business in California.”
Company officials said they are providing “transition assistance” to affected employees, including offering relocation options within the company and incentives to continue bargaining until the beginning of the year. coming.
“We are grateful to our team members in the Western Region for their dedication and valuable contributions to our mission. We are committed to providing financial and transition assistance to employees affected by this difficult decision,” said Brady Stewart, Director of Smithfield operations, in the statement.
Jim Munroe, vice president of corporate affairs at Smithfield Foods, said in an interview that he is not sure how county leaders came to estimate that two-thirds of employees will be affected. He said the number of jobs that will be affected has not yet been determined by the company.
Munroe said Smithfield did not disclose the percentage of the sow herd he plans to reduce in Utah, nor did he say how many pigs the company has in the state. The company plans to relocate most of its operations to the Midwest, and the Utah pigs will go to a different facility.
He noted that Smithfield has no plans to end its renewable energy program, through which pig farm manure produces renewable natural gas.
Local leaders also denounced the potential impact on food security across the state.
“I think he’s bigger than us, he’s bigger than Beaver County, he’s bigger than Utah,” said County Commissioner Tammy Pearson.
“We have to keep these people in business … we can’t lose this business,” Pearson said. “We’re going to move heaven and earth to do what we have to do to keep this going.”
Contributor: Amy Joi O’Donoghue
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Ashley Imlay covers state policy and breaking news for KSL.com. Ashley, a lifelong Utah woman, has also worked as a reporter for Deseret News and graduated from Dixie State University.