REDWOOD CITY, CALIF. — Impossible Foods Inc. plans to reduce its staff by 20%, according to Bloomberg. The company currently employs approximately 700.
The report also said the company offered voluntary separation payments and benefits to some employees at the end of 2022 and had cut 6% of its workforce in October.
The Impossible Foods news comes a week after McCormick & Co., Hunt Valley, Md., said it was in the process of cutting management and production staff. Specifically, the flavor and ingredient supplier is completing a voluntary retirement program in its management ranks in the United States that will be followed by layoffs. The company also is reducing its supply chain workforce by 10% following an investment in the automation of some jobs.
It is unclear if the Impossible Foods news is being driven by the overall US economic environment, weak growth in the market for plant-based meat alternatives or both. In October, Beyond Meat Inc., El Segundo, Calif., said it was laying off 19% of its workforce and lowering its fiscal 2022 sales outlook. The company cited ongoing softness in the market for plant-based meat alternatives, especially the refrigerated subsegment, inflation and competition as reasons for the changes.