The main poultry firm in Argentina, Granja Tres Arroyos, At the end of last week, it received authorization from the Government to initiate a Crisis Preventive Procedure (PPC) through which it seeks to move forward with the dismissal of hundreds of its workers and salary cuts.
The company led by businessman Joaquín de Grazia is going from bad to worse. Only a month ago it decided to close the production plant it has in the town of Tristán Suárez in the former Cresta Roja.. Now the plan is to reduce personnel at its Ezeiza production plant.
In both cases, the company emphasizes that The closure of the Chinese market for the export of poultry products after the outbreak of avian flu that was declared in the country in 2023, complicated its entire operation.. The truth is that so far the national government has also failed to reopen this important market for the poultry sector.
According to Granja Tres Arroyos, it seeks, through the crisis preventive procedure, to move forward with the dismissal of around 700 workers or the discount of additional payments equivalent to 21% of the salary.
Although so far the measure would only affect its production plant located in Ezeiza, other industrial units of the firm fear the same fate. The poultry sector is far from having its best moment. The combo is complex because, on the one hand, the domestic market does not rebound and on the other, the exchange rate is no longer favorable for exports, while labor costs are among the highest in the region.
Another key fact is that Gran Tres Arroyos took over the operation of the two Cresta Roja plants, one located in Tristán Suárez that has already closed and another in Ezeiza, after the bankruptcy of the Cresta Roja firm was declared in 2018. At that time, the poultry giant began a process to “clean up” the operation and also moved forward with the dismissal of workers. Within the business plan, it aimed to grow in slaughter and exports, something that Ultimately it didn’t happen.
Paradoxically, when the company announced the closure of the Tristán Suárez plant, it explained that the plan was to focus operations on its industrial unit in Ezeiza. In parallel, he transferred part of the workers to this last establishment. Today the reality is that the company seeks to greatly reduce its labor costs with the support of the government.
In parallel The workers denounce that for months the company has not been carrying out the necessary maintenance in any of the two plants of the former Red Crescent and that it also began to reduce working hours.
The plants of the former Cresta Roja have a long history in which they were even declared bankrupt twice, in 2014 and 2018, and even the Government of Cristina Fernández de Kirchner, first, and that of Mauricio Macri, later, tried to advance with different plans to rescue your operation. Only in 2018 with the entry of Granja Tres Arroyos did it seem that a better stage was beginning for its workers, but with Covid and then avian influenza all investment and expansion plans were frozen. Now, with the government of Javier Milei, the closure of the Tristán Suárez establishment and possibly that of Ezeiza came.
Currently, Granja Tres Arroyos processes 760,000 chickens per day in Argentina and 40,000 in Uruguay, directly employs around 6,500 people and has a turnover of around US$1.3 billion.
Source: Ambito
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