Tyson Foods announced it is closing a beef processing facility in Lexington, Nebraska, affecting more than 3,200 employees.

The company says it will also convert a beef processing facility in Amarillo, Texas to a single, full-capacity shift and increase production at other facilities in its network.

The Nebraska plant closure involves 3,212 workers, according to a listing of WARN Act notices on the Nebraska Department of Labor’s website. The terminations are set to take effect on Jan. 20.

“Tyson Foods recognizes the impact these decisions have on team members and the communities where we operate,” Tyson says.  “The company is committed to supporting our team members through this transition, including helping them apply for open positions at other facilities and providing relocation benefits.”

Nebraska Gov. Jim Pillen notes access to Tyson’s market will still be available.

“Big picture – our excellent cattlemen and cattle feeders have emerging opportunities and will still have the Tyson market to sell into as its planned re-organization will boost capacity and jobs at other Nebraska plants,” Pillen says. “Tyson leadership has also promised to continue to work on future value-added opportunities here in the state.

Tyson reported $21.6 billion in beef sales in fiscal year 2025, up from $20.5 billion in 2024. However, volume dropped 1.9% in the same period. 

In the beef segment, Tyson experienced a non-adjusted operating loss of $1.1 billion and adjusted operating loss of $426 million in fiscal year 2025. Citing a USDA projection that domestic beef production will decrease approximately 2%, Tyson says it anticipates an adjusted operating loss between $400 million and $600 million in fiscal 2026.

Tyson operates 11 beef facilities, processing 155,000 head of cattle per week.