Posted on 03/12/2004 5:37:11 PM PST by Willie Green
For education and discussion only. Not for commercial use.
COVINGTON, Tenn. - Faced with growing competition in the weight loss industry, Slim-Fast Foods Co. was expected to trim its work force here by nearly a third.
The 116 jobs account for 29 percent of the 400 employees who work at the manufacturing plant making Slim-Fast ready-to-drink beverages.
"The weight management category has been affected by competition and some big shifts in consumer behavior," said Katherine Beyer, spokeswoman for Unilever, Slim-Fast's London-based parent company.
Slim-Fast officials say the layoffs, effective Saturday, will improve efficiency and better align its resources as the West Palm Beach, Fla.-based company deals with declining sales and profits.
Specifically, Slim-Fast has been adversely affected by the rising popularity of low-carbohydrate diets. The company recently introduced a line of low-carb products, but competition is tough.
"There clearly is a trend in the marketplace right now for low-carb foods," said Jeff Stein, an analyst with McDonald Investment Co. in Cleveland who follows the weight-loss industry. "Consequently, if you're not selling low-carb products, that has the potential of squeezing too many players out of the market.
Affected workers were notified last week and will be provided with placement counseling and severance packages, Beyer said.
Whoever put "BUSHECONOMY" as one of the keywords, I hope that was meant as praise for Bush.
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