Westco, Olymel accuse Maple Lodge of refusing negotiations

Canada's New Brunswick poultry production company Groupe Westco and Quebec meat packer Olymel have faulted their rival Maple Lodge, the owner of Nadeau Poultry Farm, for refusing to accept mediation that could have avoided the 175 layoffs the firm has announced, the Country Guide West reported.
The partners accused Maple Lodge of repeatedly rejecting proposals, which included an offer to buy the Nadeau slaughterhouse, a possible partnership agreement involving joint operation, a draft agreement on slaughtering at "fair market value" while the new joint-venture Clair facility is built, and payment of a premium for the birds.
"If we can reach a solution that is acceptable to all parties through the mediation process, we will stop shipping birds to Quebec and resume supplying the St-Francois slaughterhouse," Westco CEO Thomas Soucy said.
The firm should accept the offer of mediation from New Brunswick Agriculture Minister Ron Ouellette without delay, Soucy added.

Nadeau Poultry Farm lays off half of employees

Nadeau Poultry Farm in northwestern New Brunswick, Canada, has announced they will lay off 175 of its 340 employees, cbc.ca reported.
The reduction is being attributed to the firm's rival Group Westco sending its chickens to Quebec-based Olymel for slaughter. Nadeau, as a result, does not have enough business to justify the workers' shifts.
Earlier this year Nadeau opposed the ruling from Canada's Competition Tribunal that allowed Westco to go outside of New Brunswick for processing. Nadeau argued that since Westco controls 80% of the chickens in the province, processing should be kept in New Brunswick.