On Thursday, Bimbo Bakeries USA announced the pending closure of its Auburn facility, one of three sites set to close as the company consolidates production to more efficient locations.
The Auburn bakery, located at 11 Corcoran Drive, will cease operations on September 6, according to a WARN notice on the state’s website. Along with the Auburn site, Bimbo Bakeries will also close its facilities in Olean, New York, and San Antonio, Texas. The closures are part of the company’s strategy to reduce capacity in its manufacturing network and streamline operations.
The WARN notice indicates that 49 workers will lose their jobs in Auburn. The closure at the Olean site, set for November 2 will impact 82 employees.
The Department of Labor’s Rapid Response Coordinators, Paula Yerdon for Auburn and Amy Riter for Olean, will be working with local workforce development boards to offer assistance and resources to the affected employees. The Auburn facility’s union, BCTGM Local 116, and Olean’s unions, including BCTGM Local 6 and IBT Local 264, are also involved in the transition process.
Auburn Mayor Jimmy Giannettino told FingerLakes1.com on Inside the FLX that the decision to shut down the Bimbo facility was a complete shock. “This whole thing came about as a complete surprise,” he said. “I found out by a local labor representative who works with that union. He found out for hours before that this was going to happen. So there is a misconception in the community that the you know, the city didn’t do anything to stop this. I literally received the WARN notice in my office yesterday, and I took a few immediate steps.”
Those steps included asking the person for some context within the bakery, calling local facility operators for clarification on why it was being shut down, and connecting with Cayuga County Works to. While local workforce development officials were quick to jump into action — it wasn’t going to change the outcome of the facility.
“I reached out to Senator Mae, who in turn reached out to Dan Kolinski, from Central New York Economic Development Council. In the meantime, I did receive a call from the legal counsel at Bimbo,” Giannettino continued. “He informed me that this decision is final and that there is nothing we can do to reverse that. I made it very clear to him my displeasure fact that they did not even give us an opportunity to keep the facility here, and the fact that we found out the way we did.”
He said Bimbo has promised to maintain the property until it’s sold.
Adding to the frustration was an earnings call, which took place hours before the closure announcement. “They were doing fine,” Giannettino said. “They actually were more profitable than they were last year, so this is an unfortunate decision, and our focus will be on assisting the men and women who are being impacted by this.”
The company had said the decision was based on making its operation more efficient. They have also assured that it will provide support and resources to the displaced workers to assist them in their transition.
FingerLakes1.com is the region’s leading all-digital news publication. The company was founded in 1998 and has been keeping residents informed for more than two decades. Have a lead? Send it to [email protected].