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Rocky Road For Ice Cream Workers 

Nestle Says Valley Layoffs Are Temporary

October 19,2017-

It’s not a cheery Holiday seasons for local ice cream workers.

Nestle Dryers – Haagen Dazs is “temporarily” laying off almost 600 workers in their Bakersfield ice cream factory as well as 217 in their Tulare plant.

Screen Shot 2017-10-18 at 12.26.32 PMThe date for the layoffs announced in a state WARN notice in the past few days runs from November 26 until January 20 for the Kern County workers and December 9 to January 14 for 131 Tulare employees and December 16 to January 14 for 86 other Tulare Nestle workers.

Nestle sent a letter to the Kern County Board of Supervisors that said the layoffs were due to production slowdowns.

Tulare Workforce Investment Board Executive Director Adam Peck says a letter he has seen says some workers may be called back early to get machinery running and that the Tulare plant would not close.

Asked about the layoffs, a Nestle official in Tulare said all information they would talk about was in the WARN notice.

Nestlé’s various brands of ice cream account for $1.8 billion of the total market.Nestle brands in the United States are Dreyer’s, Häagen-Dazs, Edy’s and Skinny Cow in ice cream.

Sales Meltdown

Industry figures show ice cream consumption over the last 25 years has dropped from eating the treat 41.3 times per year in the US to 28.5 times per year.

Ice cream production in California has been trending down for a number of years, falling from 131 million gallons produced  in the state in 2012 to 118 million in 2016 according to CDFA. All frozen product production was down 4.6% in 2016.

The most dramatic statistic is the volume of ice cream produced in the summer months is about 12 million gallons a month compared to just half that volume in the months of November and December.

So far 2017 is even slower for frozen product production in the Golden Sate with this summer’s production down around 10% from 2016 says a state report. While times year is important there appears to be a downward trend year over year.

The growth of the frozen yogurt industry may be taking a bite of ice cream sales as well as consumers increasingly watch their diets.

Christmas may be great time for butter sales (lots of baking) but not many of us ‘scream for ice cream’ in the chilly months.

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