Hormel Foods announces corporate restructuring

Hormel Foods (HRL) announced a corporate restructuring designed to align resources with the organization’s strategic priorities, support future growth and strengthen the overall business. Hormel Foods has implemented a voluntary early retirement program for a portion of its non-plant workforce, is closing many open roles and will reduce certain positions across its office-based workforce. These actions are expected to result in the reduction of approximately 250 corporate and sales positions. In connection with this restructuring, the company expects to incur restructuring charges in the range of $20M-$25M. Substantially, all 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 Q4 of FY25 and Q1 of FY26.