Bimbo Bakeries has notified its employees that it will close its Auburn facility, one of three bakeries the company will shut down in the next few months.Â
In a statement, Bimbo Bakeries said it will close two New York bakeries — Auburn and Olean — and its facility in San Antonio, Texas. The closure will affect 49 employees in Auburn and 82 in Olean, according to a worker adjustment and retraining notification filed with the state Department of Labor.Â
The Auburn bakery will close Sept. 6, while the Olean facility will cease operations on Nov. 2.Â
"We will transition production to bakeries in our network that are better equipped to support our future growth," a spokesperson for Bimbo Bakeries USA said. "We remain grateful for our hardworking associates at these bakeries and are committed to providing them with resources and support to ease their transitions."Â
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Bill Andre, business agent for the Bakery, Confectionary, Tobacco Workers and Grain Millers International Union Local 116, told Ë®¹ûÅÉAV the union has 41 members at the Auburn bakery. He was notified of the closure at 11 a.m. Tuesday.Â
Andre, who worked at the bakery for 12 years, said he was "blindsided" by the decision.Â
"My thoughts on corporate America is they're not making a lot of money," he said, while noting the company blamed production as a factor for the closure. "They made rolls for Burger King and fast food isn't what it used to be."Â
On a call with investors, Grupo Bimbo CEO Rafael Pamias said the bakeries targeted for closure are "older and less efficient" than other facilities. The bakeries account for less than 2% of the company's total capacity, he added.Â
Diego Gaxiola, Grupo Bimbo's chief financial officer, highlighted the advantages of closing the bakeries. Based on the timing of the closures, which will be completed by the end of this year, the company anticipates seeing financial benefits in 2025.Â
While the largest commercial baking company in the U.S. reaps the rewards of closing its Auburn facility, the decision disrupts the lives of workers, some of whom have worked at the bakery since it opened as Automatic Rolls in 1977.Â
Andre will be meeting with Bimbo Bakeries representatives to secure severance packages for the affected employees. Workers, even those who have been with the company for less than a year, will get severance pay. The duration of the pay and how long employees will remain on their health insurance plans are among the issues that must be addressed.Â
Auburn Mayor Jimmy Giannettino told Ë®¹ûÅÉAV the city is available to assist the bakery's staff.Â
"My heart goes out to the hardworking men and women who are affected by this closure," said Giannettino, who added he is "disappointed that ownership did not reach out to local or state officials to discuss whether or not this could have been avoided."Â
Despite its size, the Auburn plant was successful competing against other bakeries that provided buns to Burger King. Every quarter, Andre explained, the bakery's manager would transport buns to the fast food chain's headquarters in Miami. Buns from several bakeries were graded and Auburn's would often finish in the top three.Â
The members Andre represents work hard and do a good job, he said. He described Tuesday, when he learned of the closure, as one of the worst days of his life.Â
"It just hit me like a ton of bricks," he said.Â
Bimbo Bakeries has 20,000 employees in the U.S. and produces baked goods for several brands, including Entenman's, Sara Lee and Stroehmann.Â
Government reporter Robert Harding can be reached at (315) 282-2220 or robert.harding@lee.net. Follow him on Twitter @robertharding.