Europe's largest pork processing company, Danish Crown, has closed two production facilities in Faaborg, Denmark, as part of a restructuring programme which will see 472 employees laid off.
The slaughterhouse giant, which is Denmark's single largest agricultural exporter, said in a release that the changes were necessary if the company was to stay competitive.
“We have spent the last few months trying to resolve how to responsibly resolve the current challenge of overcapacity while maintaining a sharp focus on costs in the Danish part of the production,” said Danish Crown head Kjeld Johannesen.
Faaborg's mayor, Christian Thygesen, expressed his sadness at the closing of the slaughterhouses in the Copenhagen Post.
“We had been afraid that it would happen, but hoped we could avoid it,” Thygesen said. “This is an incredibly hard blow,” he said. “450 manufacturing jobs do not grow on trees and it will be an incredibly difficult task to relocate the affected employees.”
The Danish Crown board is also recommending negotiations with workers and other stakeholders at slaughterhouses in Skaerbaek and Bornholm.
Pork production in Denmark has fallen by more than 20% over the past five years, according to the company.