Hormel Foods is planning to cut 250 corporate and sales positions as part of a corporate restructuring.
The Spam and Planters maker said it is closing many open roles and will reduce certain positions across its office-based workforce. Hormel also has implemented a voluntary early retirement program for a portion of its non-plant staff.
The move is “designed to thoughtfully align resources with the organization’s strategic priorities, support future growth and strengthen the overall business,” the company said in a statement.
John Ghingo, president of Hormel Foods, said the company is directing resources toward areas such as technology, innovation, food safety and quality.
“Hormel Foods remains focused on growth — and growth requires continued investment,” Ghingo said. “We’re confident that our ongoing investments will strengthen our brands, improve efficiency and ensure Hormel Foods stays competitive and responsive to the needs of our consumers and customers.”
The company expects to incur restructuring charges between $20 million and $25 million through pension benefits, cash severance payments, stock compensation expenses and employee benefit costs.
Similar to other CPG companies, Hormel has been struggling with declining sales and rising costs. Last week, executives said the Minnesota-based firm is feeling the impact of inflationary pressure along with isolated disruptions, including bird flu and a fire at an Arkansas peanut butter plant. Hormel also announced the departure of its CFO, and it recently brought back former CEO Jeff Ettinger to the role on an interim basis.
The food and beverage space has been hit hard by job cuts in 2025 as companies aim to bring costs in line with slowing demand.
Nestlé, General Mills and Molson Coors are among the firms that have eliminated positions. Nestlé said in October it would cut 16,000 jobs to accelerate the turnaround of its business. The reduction represents about 6% of the company’s 277,000 global workforce.
Christopher Doering
2025-11-04 16:00:00