EDMONTON - XL Foods Inc. announced Saturday it is temporarily laying off approximately 2,000 employees at the Brooks, Alberta facility.
The Edmonton-based firm is at the centre of the largest meat recall in Canadian history.
In a press release issued Saturday afternoon, XL Foods said, "CFIA has not provided a definitive timeline for relicensing of the Brooks, Alberta facility. It is this uncertainty that has forced the temporary layoffs. We look forward to actively working with the CFIA to bring this to a viable and timely resolution to allow the plant to recommence operations."
"It is with deep regret we have announced the temporary layoff of 2,000 employees today," Brian Nilsson, Co-CEO of XL Foods, said in the release. "The return to work for our employees and the processing of cattle for the Western Canadian beef industry will remain our top priority."
Alberta's Agriculture Minister, Verlyn Olson, spoke late Saturday afternoon. He says one in six people in Brooks is associated with the plant in some form, so this could have a significant impact on the community. Olson says he is working with the Federal Government and officials in Brooks, and will be monitoring the situation closely.
"I am assured by Minister Hancock and his office that they, and Service Canada people will be on the ground ready to assist people starting Monday morning, with paperwork for EI applications and so on. Our hope is that this is a short term setback."
The union representing the workers is disappointed with the news. UFCW Local 401 President, Doug O'Halloran says the company isn't doing itself any favours by laying off the workers.
"XL could have hung in there for another week and continued to pay the workers because, now, the problem is if workers go somewhere else to get jobs, they're not going to have people to run the plant if and when it gets opened."
Federal Minister of Agriculture, Gerry Ritz issued a statement on the announcement by XL Foods Inc. Saturday night.
"My thoughts are with the workers and the community affected by this private sector business decision," Minister Ritz said adding, "The Canadian Food Inspection Agency's food safety inspectors are working diligently to ensure that all safety issues at the Brooks plant are corrected."
The Canadian Food Inspection Agency also released a short statement, Saturday, saying its priority is the safety of Canadian food.
"On Friday and Saturday, we oversaw the cutting of carcasses in the plant that had tested negative for E. coli by the CFIA. We need to observe the plant's E. coli controls in action, so this activity is a critical element in our assessment of the company's E. coli safeguards. Unfortunately, the company decided to stop operations after only cutting about half the carcasses. At this time, we are unable to complete our assessment," The CFIA said in the statement.
It goes on to state that it will continue its assessment as soon as the company resumes activities.
The CFIA said on Friday, it will be audited later this month by the U.S. Department of Agriculture, for the first time since 2009.
The massive recall of meat products produced at the XL Foods plant was prompted by an E. coli scare that has sickened at least 15 people.
© The Canadian Press, 2012