Tyson Foods is laying off 1,700 workers and closing two chicken factories

Tyson Foods will close two chicken factories in May, affecting nearly 1,700 workers.

“While the decision was not easy, it reflects our broader strategy to strengthen our poultry business by streamlining operations and utilizing the full available capacity at each plant,” Tyson said in a statement to CNBC.

In his last quarter Tyson’s Chicken shop below average expectations as operating income was halved compared to the same period last year.

The company’s plants in Van Buren, Arkansas and Glen Allen, Virginia will close on May 12. Demand is shifted to other Tyson plants. The Wall Street Journal first reported on the upcoming closures.

Tyson said it is working with affected employees to apply for job vacancies and relocation assistance to other plants. The Glen Allen plant has 692 employees while the Van Buren plant has 969 employees.

The meat giant is the latest grocer to have to lay off employees to cut costs.

Beyond meat and Imposible Foods, both of which make alternative meats, have shed more than a fifth of their workforce as demand for their products slacks and companies try to save money. Coke meanwhile offered voluntary takeovers to North American workers PepsiCo Downsizing at its Frito-Lay and North American beverage units. spice giant McCormick said it would offer takeovers and layoffs as part of a plan to save $75 million.