Mosaic To Lay Off 1,000 Workers

Matt Hopkins Posted by Matt Hopkins|13 January 2009

Mosaic, a leading fertilizer company based in the US, will layoff 1,000 of its workers in two Canadian locations that produce potash. The company said the layoffs affect 700 people in Esterhazy, Saskatchewan, effective Feb. 15, and 300 at its Colonsay, Saskatchewan operation, which will be effective March 8. According to Mosaic spokesman Brad DeLorey, the layoffs represent 80% of the company’s operations in Canada.

A week ago, Mosaic announced that it is reducing its output due to weakening demand for fertilizer and higher costs for raw materials and other inputs, as well as expected soft sales in the third quarter of the current fiscal year. Having already reduced phosphate production by about 1 million tons through December 2008, Mosaic plans to reduce production by up to an additional 1 million tons through fiscal 2009. Potash production will also be cut by up to 1 million tons in the second half of the fiscal year.
 

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