The move will result in 380 lost manufacturing jobs.
Campbell Soup Company is shutting down their Toronto plant and moving production to the U.S.
The move will eliminate 380 Canadian manufacturing jobs.
According to a report “Officials said Canadian soup and broth production will be moved to the company’s plants in North Carolina, Ohio and Texas.”
In a statement, the company said “Several factors have resulted in excess capacity in Campbell’s North American thermal supply chain network, including significant productivity improvements and volume declines of canned soup in North America.”
The Toronto plant is said to be too expensive to retrofit at a competitive cost.
Notably, this move comes shortly after the U.S. passed tax reform, and dramatically reduced their business tax rate while also reducing income taxes across the board, in addition to widespread de-regulation.
Meanwhile, Canada has been going in the opposite direction, adding regulations, and imposing a carbon tax. Ontario also has other barriers to doing business, as high energy costs are another expense that companies must account for.
Now, Canada is seeing the impact of bad government policy as 380 manufacturing jobs are lost to our southern neighbours – something that could become a lot more common the more the government insists on restricting our economy.
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