HyLife Foods Windom sold, employees terminated
Jun. 2—Clarification: This story has been clarified to reflect that HyLife did send a release to the Globe regarding the plant's closure.
WINDOM — Premium Iowa Pork, LLC, successfully bid $13 million May 26 for the HyLife Foods Windom facility and its real estate, furniture, fixtures and equipment, according to documents from the U.S. Bankruptcy Court for the District of Delaware.
Initially, the court was to approve the sale on Friday, but the parties involved were still finalizing documentation, according to Michael Comerford, attorney for HyLife. The sale hearing was rescheduled for 10 a.m. June 9.
Premium Iowa Pork could not immediately be reached for comment on the sale. HyLife could not be immediately reached for comment regarding the sale following their release regarding the plant closure.
Premium Iowa Pork is based in Hospers, Iowa, with a second facility, Premium Minnesota Pork, in Luverne.
The runner-up bidder for the Windom facility was Compeer Financial PCA and Compeer Financial FLCA.
During the auction, AgriSwine Alliance, Inc., purchased 22,001 hogs from HyLife at $60 per head, and that purchase was approved by the court. Compeer did successfully bid on two parcels, consisting of 111 acres total, north of the Windom HyLife facility. Scott Veenker was the second high bidder in that case. Compeer also had the high bid for a residential duplex located at 101 Seventh St. South and 107 Seventh St. South, both in Mountain Lake.
"We had a successful buyer for our facility in Windom, subject to court approval," wrote Stacey Ashley, public relations and communications manager for HyLife on Friday. "This means our operations at the plant have come to an end as of June 2, 2023. Despite significant efforts to avoid this outcome, we are told that the buyer does not intend to retain employees at the Windom plant."
HyLife is working with the Minnesota Dislocated Worker Program, and will have a rapid response team on-site to offer career counseling, resources and job search support, according to Ashley.
"This has been a trying journey for all involved; we would like to close by sincerely thanking our employees. Your dedication right up to the final day, is admirable," her release stated. "We wish both our employees and the City of Windom all the best."
Staff from the Southwest Minnesota Private Industry Council met with Minnesota Department of Employment and Economic Development's rapid response team Friday in order to prepare to help the former HyLife employees who are eligible for competitive employment — about 421 of them.
About 490 employees working at the plant were in the U.S. on H-2B visas, and they were told May 25 that they would need to either find alternative employment under a company with the proper permissions for H-2B visas or depart the U.S. by June 3.
"It's my understanding that HyLife has been purchased, but they have chosen not to keep (them) on the staff," said Carrie Bendix, executive director of the Southwest Minnesota Private Industry Council.
According to Bendix, Premium Iowa Pork could potentially interview people to hire their own staff for the plant, which could allow former HyLife employees to be rehired — but Premium's plans remained unknown as of Friday afternoon.
The Private Industry Council offers career planning and counseling for people who want to pursue a new job, as well as complete a career assessment.
"We understand," Bendix said. "Some of the (PIC) staff have been laid off themselves in their past work life, so they understand how hard that can be."
PIC offers training, and has funds to help people upskilling or reskilling. They offer job search and placement services, and there are even limited resources for people interested in starting their own business.
"We can help with resume writing, preparing for interviews," Bendix said. "We have the ability to provide services in different languages as well.
She encourages HyLife workers, as well as any other workers who have been laid off in the area, to call (507) 295-5020 and ask for Sandy Demuth, career specialist at the Worthington CareerForce office.
"We will likely be helping to host a career fair of sorts ... in the Windom area," said Bendix, acknowledging how hard the situation is for the workers and its impact on the community.
