Hormel Foods Corporation has announced plans to reduce approximately 250 corporate and sales positions as part of a restructuring initiative.

The company reports it has implemented a voluntary early retirement program for a portion of its non-plant workforce, in addition to closing open roles and reducing certain positions across its office-based workforce. Hormel Foods says it employs more than 20,000 people worldwide.

"We approached every decision with care and respect for our team members," says Jeff Ettinger, interim chief executive officer, Hormel Foods. "Our focus is on providing support and resources to those impacted as they transition from the company."

Hormel Foods expects to incur restructuring charges in the range of $20-$25 million. All of the charges are expected to be related to one-time pension benefits, cash severance payments, stock compensation expenses and employee benefit costs. Most of the charges are expected to be incurred in the fourth quarter of fiscal year 2025 and the first quarter of fiscal year 2026.

"Hormel Foods remains focused on growth — and growth requires continued investment," says John Ghingo, president, Hormel Foods. "We're directing resources toward technology, innovation, food safety and quality, and the capabilities — including people capabilities — that will shape our future. 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."