TORONTO—Canada Bread Company Ltd. has announced plans to shut down its baking plant in North Bay, Ont.
The food manufacturer, which produces the Dempster’s and Villaggio brands, among others, will lay off 62 staff at the Northern Ontario facility, transferring production to other bakeries in Ontario and Quebec that it says have available capacity and offer improved speed and efficiency.
“Our industry is under mounting competitive pressure to become more efficient and this means we have to make very difficult decisions,” Jennifer Park, the company’s vice-president of Operations, said. “While this is the business reality, it is hard to make the necessary changes, particularly in a community where we have such a strong presence. We are doing everything possible to ease the impact on our people.”
The Canadian baking company, which has a more than 100-year history, was acquired by Mexican baking giant Grupo Bimbo from Maple Leaf Foods in May of 2014.
Canada Bread said it would gradually wind-down production of the buns, rolls and sliced breads the North Bay facility produces and cease production by Aug. 5.