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Despite the sadness of the loss of Celeste Pizza chain that has operated for 60+ years, the question on many food industry minds now is: what does this mean for employment? Conagra is reducing the number of brands in its portfolio to concentrate on growth brands. If so, manufacturing employees bear the brunt of the impact.
What Happened to Celeste Pizza?
Conagra Brands confirmed it has discontinued Celeste frozen pizzas. A simple reason: the company no longer believes the future is in some brands and product categories, the CEO said. This is part of a greater Conagra brand-cut effort, which involves eliminating less profitable brands and focusing on more profitable, growth-oriented products.
Since the 60’s, it had been a stalwart, manufactured by a Chicago family until it passed into the hands of Quaker Oats and then Conagra. It disappeared after 60 years.
How Brand Cuts Affect Food Manufacturing Workers
If a product line is discontinued, it doesn’t stop there. There are factory workers, staff who package the pizza, workers in the supply chain, and workers who deliver the pizza behind every frozen pizza. This type of decision – and others like it – can directly impact workforce size at food manufacturing plants.
| Impact Area | Risk to Workers |
| Production lines | Fewer shifts or shutdowns |
| Packaging & logistics | A decreased number of contracts and jobs! |
| Supplier businesses | Orders placed without notice. |
| Seasonal workers | First to lose hours |
The Conagra workforce cuts may not receive the same publicity that tech job cuts enjoy, but food manufacturing employment can suffer the same fate when companies pare the number of brands they carry.
Is the Frozen Food Industry Cutting More Jobs?
This is not the only time Celeste will appear. Frozen pizza makers are rationalising brands, robotising manufacturing, all over the market. The fewer the number of brands, the fewer lines — and fewer people on the floor. A typical trend in the frozen food industry is that after a product line has been eliminated, there are no open, public announcements of job reductions; instead, personnel are quietly let go in a manner consistent with “efficiency improvements.
What Food Industry Workers Can Do Now
Even if it’s a business decision far removed from yours, it’s worth keeping an eye on if your employer is restructuring its brand.
- Keep an eye on earnings calls – product cuts are first announced there
- What if hours are cut, what are your rights?
- Review WARN Act notices – U.S. employers having 100+ employees are required to provide 60 days’ advance notice of mass layoffs
- Job losses in the food industry are usually unanticipated. The first line of defence is to be informed.
FAQs
Why was Celeste Pizza discontinued by Conagra?
Conagra’s decision to end production was as part of a strategy to eliminate lower-profit, smaller brands and concentrate resources on higher-growth product lines.
Will cuts by Conagra result in job cuts in the food industry?
Yes. Management cuts back or has to sack workers in the manufacturing, packaging, and distribution jobs associated with the elimination of product lines – without public notice.
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