Tyson Foods, headquartered in Arkansas, has announced the permanent closure of its Perry pork packaging plant, impacting the city’s largest employer and leaving 1,276 workers without jobs.
In a statement on Monday, a company spokesperson conveyed the challenging decision to shutter the Perry, Iowa, pork facility following careful consideration.
Tyson emphasized its commitment to assisting affected employees in seeking alternative positions within the company.
Despite the closure, Tyson maintains a significant presence in Iowa, employing 9,000 individuals across the state, with pork facilities located in Waterloo, Storm Lake, and Columbus Junction.
This development marks the second significant setback for Perry this year, a town with approximately 7,930 residents, already grappling with the aftermath of a January school shooting that claimed three lives and injured six others.
Mayor Dirk Cavanaugh underscored the economic significance of the plant to the community, expressing doubt that relocated workers would find employment close enough to allow them to remain in Perry.
According to Cavanaugh, company officials indicated that the closure is expected to occur in late June.
While not all Tyson employees reside in Perry, their patronage of local businesses for groceries, gas, and other services significantly contributes to the community’s economy. Cavanaugh pledged to collaborate with local, state, and corporate stakeholders to identify a new employer for the plant’s premises.
Governor Kim Reynolds offered her support to Tyson employees, the Perry community, and Iowa pork producers, affirming the state’s commitment to providing assistance leading up to and following the plant’s closure.
The Iowa Economic Development Authority and Iowa Workforce Development are actively involved in aiding impacted workers, with approximately 60,000 job openings listed on IowaWorks.gov.
Representing between 700 and 800 of the plant’s employees, the United Food and Commercial Workers Union Local 1149 expressed a desire for compensation and support for affected families, emphasizing Tyson’s responsibility to provide assistance.
Closure discussions had been circulating among workers, but an official announcement from the company was made only on Monday, leaving many employees uncertain about their future job prospects.
The decision to close the Perry plant comes amid challenges faced by the pork industry, with Tyson citing economic difficulties in its rationale for closure. Last year witnessed significant financial losses for Iowa and U.S. pork producers, with rising costs surpassing livestock prices.
While the closure brings uncertainty to Perry, the community has weathered similar challenges in the past, having experienced fluctuations in the industry over decades. The plant, which has undergone ownership changes, has played a pivotal role in Perry’s economic landscape since its establishment in the 1960s.