Canopy Growth lays off 500 workers, shuts massive B.C. greenhouse facilities – Financial Post

Canopy Growth Corp. has laid off 500 workers and shut down two of its biggest greenhouses in British Columbia, in a move to “improve production efficiencies” as the legal cannabis industry wrestles with an oversupply of cannabis, supply chain hiccups and ever-changing consumer preferences. “When I joined Canopy Growth earlier this year, I committed to focusing…

Canopy Growth lays off 500 workers, shuts massive B.C. greenhouse facilities – Financial Post

Canopy Growth Corp. has laid off 500 workers and shut down two of its biggest greenhouses in British Columbia, in a move to “improve production efficiencies” as the legal cannabis industry wrestles with an oversupply of cannabis, supply chain hiccups and ever-changing consumer preferences. “When I joined Canopy Growth earlier this year, I committed to focusing the business and aligning its resources to meet the needs of our consumers,” said Canopy Growth chief executive David Klein. “Today’s decision moves us in this direction, and although the decision to close these facilities was not taken lightly, we know this is a necessary step to ensure that we maintain our leadership position for the long-term.”The company also said it would no longer go forward with plans to open another greenhouse in Niagara-on-the-Lake, Ont., as part of an overall effort to “align supply and demand.” Under the guidance of former CEO Bruce Linton, Canopy had purchased the Niagara property for $9 million in September 2017. Six months later, the company spent $400 million to purchase the B.C. greenhouses in Delta and Aldergrove, hiring hundreds of workers — mostly new immigrants and temporary foreign workers. The pot company had hoped for the “BC Tweed” facilities, as they were known, to generate the bulk of supply to its processing headquarters in Smiths Falls, Ont. But when the Financial Post visited Canopy’s Aldergrove facility a year ago, it appeared under-utilized. Sources told the Post at the time that the greenhous
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