Tyson Fresh Meats, a unit of Tyson Foods, Inc., will permanently terminate the operations at the Denison plant in Iowa due to “a continued lack of available cattle.”
“This was a very difficult decision because it affects the lives of our people, their families and the community that has supported this plant for more than 50 years,” said Steve Stouffer, president of Tyson Fresh Meats, in a statement. “However, the realities of livestock trade have changed and we have to continue to change with it to remain successful.”
The company said the cattle supply is scarce and there is excess beef production capacity in the region.
“We believe the decision to cease operations in Denison will put the rest of our beef business in a better position for future success,” the company added.
Approximately 20 employees will continue working in Denison on sub-products operation.
By law, Tyson Fresh Meats will need to provide the 400 employees at the plant in Denison 60 days of payment, and is also pushing for affected workers to apply for jobs in their other facilities.
The other Tyson meat plants are located in Amarillo, Texas; Dakota City, Nebraska; Finney County, Kansas; Joslin, Illinois and Lexington, Nebraska.
In March, Tyson announced the closure of its poultry processing plant in Buena Vista, Georgia, where 260 people worked, and the elimination of the third shift at Dawson.