Kellogg Closes Frozen Food Facility in Atlanta

Kellogg is laying off 108 employees in Atlanta by October, according to the Georgia Department of Labor’s website.

Kellogg spokesperson Kris Bahner said the layoffs were anticipated as part of an October 2018 announcement to better position its “Frozen Foods business for success by increasing capacity.” There was no external announcement about the layoffs then, but emails Kellogg sent to Food Dive indicated the company had made an internal announcement last year about the plant closure to stakeholders and employees.

Through its Project K cost-cutting program, Kellogg has been streamlining its organization and cutting jobs across the globe. The goal of the plan was to generate USD425m to USD475m in annual savings by 2018. In 2017, the company changed its distribution method, switching from direct store delivery to warehouse delivery — which resulted in more than 1,100 job cuts.

That same year, the company announced its plan to cut 250 employees from its North American business. More than halfway into this year, the company is still ramping up layoffs. Despite all the restructuring, Kellogg has seen only slightly higher revenues.