REDWOOD CITY, CALIF. — Plant-based meat producer Impossible Foods has laid off 6% of its employees as part of a reorganization plan.
The restructure primarily involved roles that had become redundant or were incompatible with other parts of the reorganization plan.
“Earlier this week we proactively made some organizational changes that strengthen our company and establish clear supply and demand functions to position us for our next phase of expansion,” a spokesperson for Impossible Foods said. “As a result, some roles were eliminated, but we’re continuing to actively recruit for key positions that will enable our continued growth.”
The move is just the most recent shakeup within the plant-based alternatives market amid declining growth in the segment, including the permanent closure of Planterra Foods on Oct. 3.
Likely the result of economic pressures and higher shelf prices, a report from the Brightfield Group found that shopper penetration for burger and chicken alternatives fell 7% and 6%, respectively, within the second quarter of 2022.
The spokesperson denied any connection between such studies and its reorganization, however.
“Contrary to reports about the performance of the plant-based meat category and a number of companies within it, we're seeing hyper growth, with over 60% year-over-year sales growth in retail alone,” the spokesperson said.