UPDATE: Records obtained on Feb. 20 indicated that 176 positions were impacted by the closure.
After more than a decade in business, a Lubbock snack facility will shut down next month due to a decrease in demand, according to company officials.
Shearer's Foods is "the largest supplier of private brand salty snacks and the second-largest supplier of private brand cookies and crackers in North America," according to the company's website. The company also has had a Lubbock production facility at 3203 Ave. B since 2007.
The Lubbock facility will end operations on March 31, the company confirmed in an emailed statement.
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"After an extensive period of consideration, the difficult decision has been made to shutter production at our facility in Lubbock, TX effective March 31st, 2024," the communications team stated. "This decision came after closely analyzing our supply chain and determining how to best manufacture our products to service our customers. The decision was made largely due to a decrease in demand from the largest customer of the facility."
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The company said employees have been offered benefits to stay until March 31, including "severance pay based on tenure, continued health insurance benefits and payout of unused vacation time." Employees will be eligible to apply for unemployment benefits.
"Shearer’s is committed to assisting team members in finding new employment by offering opportunities to transfer to another Shearer’s facility, as well as connecting with employers in the Lubbock area to fill their open jobs," the communications team stated. "We are grateful for the many contributions of our dedicated team members in Lubbock. We will do our very best to support them in their transition within Shearer’s or externally."
The confirmation comes two days after Clayton Dubilier & Rice, a private investment firm, announced the completed acquisition of Shearer's Foods.
This article originally appeared on Lubbock Avalanche-Journal: Shearer's Foods confirms pending closure of Lubbock facility