18 of the 44 acquired plants will be shut down and all production consolidated. Affected employees will be offered jobs at the remaining plants. DFA is in the process of piecing plants together to meet needs not only for local farmers but to cut costs for labor and fuel costs.
DFA will also be subcontracting drivers to take care of picking up raw milk off farms and carrying out local delivery routes. Goal is to cut labor and fuel costs 40% by 2021.
I don’t know the exact “18”. Was in on prelim meeting. Then it went into a closed session for further discussion. Which. I was not able to partake in.
All I’m going to say is. The goal is a 40% reduction by 2021. And no one is safe.
The 18 probably aren’t identified yet but more comes from a needed budget reduction to become profitable in the next few years as stated previously, 40% reduction in labor.
Which 18?
DFA is indicating they're planning on operating the 44 plants. So which ones, specifically, are "closing"? You either have the info or you don't.
Calling my shot like Babe Ruth about the 18 plants closing. Especially with this DOJ news hot off the press.
Stop worrying La Mars. You have been one of the biggest posters on this site. You are due to close.
I work at Le Mars plant. And believe me. I have seen guys who don’t k is how to read. So cooler supervisor had to make the guys go off the color of the milk caps so they could pick orders properly.
Watched another temp quit when his pant leg got wet as well.
It’s not easy just getting anyone off the street to pick up the routine and speed of a dairy operation.
Who'd a thought?? Milk processing and meat processing are the same!! Hahaha YOU DOPE !!!
LeMars Iowa has zero shortage of people who know how to run a milk facility. Also has access to plenty of labor from Sioux City laid off from or looking for a nice bump in pay from their current meat processing position. Keep dreaming .
No WARN act responsibility as they don’t own the plants yet, they just walk away from the deal and let Deans look for another buyer before they run out of money while losing $1,000,000 per day.
Stand firm while your CBA is voided by the court and you all have to re-apply if you want to stay employed or else go work for Walmart for $12/hr. Lots of people looking for jobs and DFA has people at other plants who can come train them.
Stand firm!!! Le Mars has voted as well to stand firm. And our team has never lost a negotiation. Our plant has modern and well maintained equipment and can serve all North Central US. DFA would never be able to replace all 187 employees here.
And at wages of $21.00 an hour average. That is DIRT CHEAP labor costs.
Adios
My plant has already decided to vote NO on any reductions or repost of our current jobs. All men and women here are standing FIRM and UNITED.
What about the WARN act? Wouldn't DFA be required to tell employees 60 days prior to closing the plants down? Or does the bankruptcy let them skirt around this law? I also choose not to believe this until there is official notice, however I do appreciate the heads up, just in case it turns out to be true. I would not be surprised if other Deans facilities are in bad shape. At my own plant, things are fixed with duct tape (literally), and our plant manager won't approve funding to repair anything until it meets two conditions. #1, It must be something essential to our operation (so if it's simply a safety issue, or non-essential, it does NOT get fixed), and #2, It must be beyond fixable with duct tape or some other temporary measure. This is how it's been for YEARS.
The 40% reduction stated previously appears to be accurate based on the current asset utilization of a typical Dean/DFA plant. It is all in the numbers, push current volume into fewer plants equals more profit. I wouldn’t think it would be all Dean or all DFA plants being shut down but more of a mix based upon location to keep logistics costs down. Of course potential union issues play a part, if a certain plant’s labor costs are too high it would make sense for DFA to pay more in logistics to save the ever increasing labor costs. The Dean plants aren’t in the greatest condition either due to years of claw backs on R&M, I would think they would be comparable to the DFA plants.
Well....there is someone who called the Deans BK back in Jan. And a person who called the closure of Berkeley a few months ago. Problem is. That person keeps getting censored and posts deleted. We all should be fortunate to have that person in here giving us crumbs before censorship.
I think it's funny that people on here claim to have insider information yet pretty much none of that has come to fruition. At this point, I'll believe it when I see it re: selling Dean plants.
Exactly right!! Dfa hand picked plants they want to replace some existing dfa plants. Only thing that makes sense. There will never be a need for that much capacity to keep all plants open. Milk consumption continues to decline. Select dfa plants will be shut down very soon !!
There should be no doubt that the dean plants are superior compared to dfa plants otherwise dfa would have bought far fewer. dfa plants prepare to close !! Its inevitable!! Only thing that makes sense
This is a lay-off board. I’m here to warn people. Let’s just say I work at a facility in the KC metroplex who has some inside information on your fate. That’s all I’m going to say. Besides that. Information hounds never give out their SOURCE otherwise the truth will never get out to the masses.
DFA Le Mars lays on a prime corner lot in a commercial area. Land value alone makes it a prime candidate for a developer.
It will happen. DFA can make more money on developer sales than the 9 million average per plant they spent. Farmers getting a bailout for dumping milk and no need to carry 44 factories. Especially the ones who are UNION!!!
Plants may not close but cant see how trucks can keep going out with 100 cases and make any money
Finally the whole truth is coming out!! Feel bad for the Tru moo dtinkers!! NOT!!!
What plants? List them and a source or shut up
Please site your source for this information.
Where is the evidence to back this up?
So DFA sells off the plants and pockets the money and screws over the Deans bondholders, shareholders and creditors.
DFA (just like Dean Foods before them) can't come out and say that all the plants that will be closed are union or that that even figures into their decisions. It does figure in, but they can't say it and have to fake other reasons for doing it outside of just "we're closing this plant because the union is a pain in the a– to deal with".
Close.
Every plant without a labor agreement in place will close by end of business on 4/30.
DFA purchased a list of plants (assets), not a list of employees.