Blue Bell Creameries is planning to slash close to 1400 jobs at its plants after many of its products were found to be linked with the recent Listeria outbreak in the US.
This comes after the company reached agreements with health officials in Texas and Oklahoma detailing steps the company will follow to resume production of ice cream products, reported The Associated Press.
The job cuts will reduce more than a third of the company's workforce.
Blue Bell Creameries has ceased operations at its production plants in Texas, Oklahoma and Alabama since a full recall was issued in April.
Around 10 illnesses have been reported in four states associated with the consumption of the company's ice cream products contaminated with Listeria.
Additional 1,400 workers will be furloughed and will still receive a substantial portion of their current pay, the company said.
Blue Bell has also closed its cold storage distribution facility in Suffolk.
