Tyson Foods to close two beef plants and sell a third amid 'historic' cattle shortage; Joslin closure leaves 2,500 workers jobless

Tyson Foods is closing its Joslin, Illinois beef plant and its Eagle Mountain, Utah facility, impacting 2,500 workers amid a historic cattle shortage. The company is also pursuing the sale of its Pasco, Washington plant as it faces significant operating losses.¹²³⁴⁶⁷

The closures come as the U.S. cattle herd has fallen to historically low levels due to drought, forcing ranchers to liquidate cattle. In its third quarter report, Tyson projected a 3% decrease in domestic beef production this fiscal year and anticipates an operating loss between $650 million and $500 million.

Tyson's beef segment reported a $138 million operating loss in Q3. CEO Donnie King acknowledged the challenges, stating, "Beef hasn't performed the way we expected, and we're not pretending otherwise." The company plans to shift capacity from the closed facilities to others with ample capacity, including ramping up a second shift at its Amarillo, Texas plant as cattle become available.⁸⁹

Tyson emphasized its commitment to supporting affected employees, stating, "The company is committed to supporting our team members through this transition, including helping them apply for open positions at other facilities." The closures reflect ongoing pressures in the beef market, where consumers face elevated prices amid tight cattle supplies and higher costs.