Moncton-based Organigram Holdings Inc. cuts its workforce by 25 percent

The company has 609 remaining employees, including 433 at its indoor growing facility

Photo by Shane Rounce/Unsplash

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A New Brunswick licensed cannabis producer has laid off 220 employees “to better align its production capacity to market conditions”.

Today, Organigram Holdings also announced that it will cultivate less cannabis than what its Moncton campus is capable of producing.

The 25 percent cut in the workforce means that Organigram now has 609 employees, including 84 on temporary layoff. The company employs 433 workers at its indoor facility in Moncton.

“These decisions are never easy to make, but we are committed to ensuring the company is appropriately sized relative to market conditions,” CEO Greg Engel said in a company news release.

He added that the company is “incredibly grateful for the commitment that our affected employees have made”.

Organigram has also postponed the release of its quarterly financial statement by a week.

The company plans to focus on bringing new cultivars to market. It also stated that it’s increasing the tetrahydrocannabinol (‘THC’) and terpene profile of its dried flower.

The company believes this is the best way it can meet emerging consumer demand”.

Organigram’s share price closed at $2.19 on the Toronto Stock Exchange on July 2. That’s down dramatically from its 52-week high of $9.50 recorded last July.

The company is worth $384.79 million.

Charlie Smith

I'm the editor of the Georgia Straight newspaper in Vancouver, as well as a CannCentral contributor.

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