Amy’s Kitchen on Thursday announced plans to close its Santa Rosa manufacturing plant in phases over the next several months and shift production outside Sonoma County, a move that will affect 260 jobs across the 39-year-old company’s multistate manufacturing network.

The Petaluma-based maker of organic vegetarian packaged foods said it is reorganizing production so each plant concentrates on product categories where it is strongest. About 207 of the jobs are in Santa Rosa, while about 51 jobs will be cut in the canning operation at the company’s Pocatello, Idaho, plant as that work moves to the Medford, Oregon, facility.

“Amy’s is making changes to its manufacturing network so each facility can focus on the product categories where it is strongest,” the company said in a statement.

The layoffs are set to start late this year and wrap by next summer. The company’s corporate headquarters will remain in Petaluma, where it’s been since Andy and Rachel Berliner started Amy’s in 1987.

The Amy’s Kitchen Santa Rosa manufacturing plant. The company announced...

The Amy’s Kitchen Santa Rosa manufacturing plant. The company announced plans for a phased shutdown of its Santa Rosa plant, shifting operations to Oregon and Idaho facilities Thursday, Sept. 17, 2026. (John Burgess/The Press Democrat)

Amy’s Kitchen will continue to be headquartered in downtown Petaluma....

Christopher Chung / The Press Democrat file

Amy’s Kitchen will continue to be headquartered in downtown Petaluma. (Christopher Chung / The Press Democrat file)

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The Amy’s Kitchen Santa Rosa manufacturing plant. The company announced plans for a phased shutdown of its Santa Rosa plant, shifting operations to Oregon and Idaho facilities Thursday, Sept. 17, 2026. (John Burgess/The Press Democrat)

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‘Not made lightly’

CEO Paul Schiefer said Amy’s considered other options before deciding to close the Santa Rosa operation.

“This is hard, and it should be hard. We looked at every alternative before landing here,” Schiefer said. “We have a loyal workforce in Santa Rosa, and we’re incredibly grateful for everything they’ve contributed. We know this decision has a very real impact on people we value.”

Amy’s said affected employees will receive separation packages, job-placement assistance and access to counseling through its employee assistance program. Managers and other company leaders also will be available to answer questions and explain next steps.

“These decisions were not made lightly, and they are not a reflection of the dedication of the people affected,” the company said. “We are committed to supporting every impacted employee through this transition.”

Schiefer said the company’s manufacturing network had become more complex as Amy’s grew.

“As we’ve grown, our manufacturing network has become more complex than our business needs today,” he said. “Aligning our network around what each facility is best positioned to do is what keeps Amy’s operating efficiently for the long run, for our employees, our retailers, and the families who count on our food.”

Santa Rosa now produces only a small portion of Amy’s overall output.

“Santa Rosa’s role has evolved as the company has grown, and we opened new plants in Medford and Pocatello,” the company said. The 350,000-square-foot Oregon plant opened in 2005, and the 479,000-square-foot Idaho facility in 2014.

Pocatello will expand as Amy’s designated entrée facility, while Medford will specialize in pizza, soup and burritos, the company said.

Employees prepare Indian Vegetable Korma frozen meals in the Amy's...

Beth Schlanker/The Press Democrat

Employees prepare Indian Vegetable Korma frozen meals in the Amy’s Kitchen production facility in Santa Rosa, Calif., on Wednesday, February 16, 2022. (Beth Schlanker/The Press Democrat)

Employees roll up bean and cheese burritos in the Amy's...

Beth Schlanker/The Press Democrat

Employees roll up bean and cheese burritos in the Amy’s Kitchen production facility in Santa Rosa, Calif., on Wednesday, February 16, 2022.(Beth Schlanker/The Press Democrat)

An employee strains tofu in the Amy's Kitchen production facility...

Beth Schlanker/The Press Democrat

An employee strains tofu in the Amy’s Kitchen production facility in Santa Rosa, Calif., on Wednesday, February 16, 2022. (Beth Schlanker/The Press Democrat)

Amy's Kitchen team leader Gricelda Barajas Barragan, right, manages a...

Beth Schlanker / The Press Democrat file

Amy’s Kitchen team leader Gricelda Barajas Barragan, right, manages a line of employees making quinoa bowls at the Santa Rosa production plant on Wednesday, March 11, 2015. Amy’s Kitchen announced Thursday, Oct. 3, 2024, it was laying off more than 300 workers. (Beth Schlanker / The Press Democrat file)

An employee places bean and cheese burritos on a conveyor...

Beth Schlanker / The Press Democrat

An employee places bean and cheese burritos on a conveyor belt after being rolled up in the Amy’s Kitchen production facility in Santa Rosa, Calif., on Wednesday, Feb. 16, 2022.(Beth Schlanker / The Press Democrat)

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Beth Schlanker/The Press Democrat

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Employees prepare Indian Vegetable Korma frozen meals in the Amy’s Kitchen production facility in Santa Rosa, Calif., on Wednesday, February 16, 2022. (Beth Schlanker/The Press Democrat)

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Labor complaints

The Santa Rosa facility has also been the center of past disputes over working conditions and union organizing. In January 2022, worker Cecilia Luna Ojeda filed a complaint with the California Division of Occupational Safety and Health alleging unsafe conditions and injuries tied to repetitive, fast-paced production work, The Press Democrat reported. The complaint, prepared by a Teamsters representative, cited prior Cal/OSHA violations and more than $100,000 in penalties from 2016 to 2019, according to The Press Democrat.

The company also reached a $23,000 settlement over Idaho federal OSHA violations in 2018 and was fined $6,000 for Oregon violations in 2018, NBC News reported.

In 2022, Amy’s disputed claims that it was indifferent to worker safety.

A boycott of Amy’s products that began that year ended in June 2024 following discussions involving Santa Rosa workers, Food Empowerment Project, Veggie Mijas and company executives. Food Empowerment Project said at the time that Amy’s agreed to measures including bilingual employee service representatives, safety improvements and a 3% merit wage increase.

The company said Thursday that neither the boycott nor the unionization efforts increased local operating costs or influenced the closure. Amy’s also said it has not faced similar worker concerns or unionization efforts at its Oregon and Idaho facilities.

Food Empowerment Project said Thursday its previous campaign documented worker concerns involving safety, wages, health coverage and the ability to organize. The San Francisco-based nonprofit also said it would continue to advocate based on the priorities of affected employees.

“The individuals who worked to make Amy’s Kitchen a household name deserve a voice and a seat at the big table, when it comes to making decisions that directly affect their lives,” the organization said in a statement. It urged the company to provide affected workers clear information about severance, healthcare, transfers, unemployment assistance and alternative employment support.

‘Important part of our Santa Rosa community’

The city of Santa Rosa also said Thursday it plans to work with Amy’s and local workforce-development organizations to assist displaced employees.

“Amy’s Kitchen has been an important part of our Santa Rosa community for many years. We recognize this news is difficult for employees, their families, and the broader community,” the city said. “We will work closely with Amy’s Kitchen and our workforce development partners to connect affected employees with available resources and support during this transition.”

The city pointed to its response to an earlier Amy’s workforce reduction, when 331 employees in Santa Rosa and Petaluma were let go in late 2024. The city worked with Sonoma County Job Link, Sonoma County and the company to hold an October 2024 job fair attended by about 165 people. The city said it would work with those partners to offer similar assistance for the latest layoffs.

‘Strong growth and demand’

The planned Santa Rosa closure comes as Amy’s says demand for its products remains strong. Earlier this year, the company told the Journal its retail sales were nearing $1 billion. The company declined to provide updated sales or growth figures.

“Amy’s continues to see strong growth and demand for our products,” the company said.

Amy’s said it holds the leading dollar share within the organic segment in several of its core categories, citing retail sales data for the 12 months through June. The company reported a 92% organic-segment dollar share in frozen entrées, 70% in frozen handheld foods, 90% in frozen pizza and 47% in shelf-stable soup.

The company said the current restructuring follows shifts in consumer demand and product mix after the pandemic.

“Like most of the grocery industry, Amy’s worked through real shifts in volume and product mix in the years coming out of the pandemic,” the company said. “Amy’s, as a clear market leader in natural and organic products, is in a stable place today, and with the changes we’re making now, is well positioned for future growth.”

Difficulties for local food producers

The planned shutdown points to broader challenges for large food manufacturers in Sonoma County, said Robert Eyler, an economics professor at Sonoma State University.

“It suggests that it’s getting more difficult to do food manufacturing at scale here in Sonoma County,” Eyler said.

Five-decade-old La Tortilla Factory closed its plant near Sonoma County airport in early 2024, cutting 132 jobs in a shift to Kansas. Miyoko’s Creamery closed its Petaluma plant the same year, laying off three dozen, as production was outsourced. Manzana Products, a 103-year-old Sonoma County producer of organic apple juice, sauce and cider vinegar, expects to shift production at the 180-employee Sebastopol plant to Washington state next year. Fermented foods maker Wildbrine closed its Santa Rosa plant, employing 37, late last year.

Other sizable local closures at food processors include Vella Cheese Company in August of this year, Bohemian Creamery last year, Mulas Dairy in 2024, Corda Family Dairy in 2022, large meat processor Rancho Feeding Corp. in 2014 after a big recall and Barbara’s Bakery in 2012.

Eyler said rising costs for ingredients, labor, energy and logistics are squeezing margins for large food producers, even as some smaller local bakeries have been able to thrive and expand.

Changes in direction

The pending Santa Rosa plant closure follows a series of changes in production and restaurant operations for Amy’s for more than a decade.

In January, Amy’s announced it would close its Rohnert Park drive-thru March 8. Opened in 2015, it was the company’s first drive-thru and the last of four in California to close. Amy’s said it would focus on manufacturing and selling more than 260 products in retail outlets in the U.S. and abroad, with retail sales approaching $1 billion annually, North Bay Business Journal reported.

“Amy’s Drive Thru has been part of everyday life in Sonoma County for more than 10 years, and we’ve now made the difficult decision to close our Rohnert Park location,” Schiefer said then.

Amy’s also closed a 74,000-square-foot leased production facility in East San Jose in July 2022 and laid off 331 workers, according to Bay Area News Group. That year, the company said it employed more than 2,800 people overall and about 630 at the Santa Rosa plant. The former South Bay site was sold this month for just under $18.4 million.

The company also has halted work on a long-planned manufacturing and packaging plant in Goshen, New York. Amy’s broke ground in 2019 but said in November 2024 that it no longer needed additional manufacturing capacity, according to Mid-Hudson News.

“Since 2020, global events like the COVID-19 pandemic and inflation have changed the demand for our frozen meals and canned soups,” an Amy’s spokesperson said at the time. “These changes have affected how much we produce, and we currently do not have need for additional manufacturing capacity.”

Previous Santa Rosa downscaling

And the downshift in Sonoma County production has been coming for years. In 2014, the company shelved plans for a second Santa Rosa production plant expected to create 800 jobs and instead pursued a plant in New York, The Press Democrat reported. Company executives said proximity to East Coast customers was the primary reason.

“Having an East Coast plant really is a necessity for us,” then-executive vice president Kevin Haslebacher said.

The current Santa Rosa plant, with 107,000 square feet at 2330 Northpoint Parkway, was among three production facilities Amy’s sold in late 2021 in a roughly $144 million sale-leaseback transaction with real estate investment trust W.P. Carey Inc., North Bay Business Journal reported. Amy’s leased the Santa Rosa, Medford and Pocatello properties back for 30 years.

Amy’s Kitchen supporters and allied employees raise their voices during...

John Burgess / The Press Democrat

Amy’s Kitchen supporters and allied employees raise their voices during a rally in front of the Santa Rosa production facility on Friday Feb.4, 2022, after complaints in the news about working conditions brought forward by other employees. (John Burgess / The Press Democrat)

A protestor supports Amy’s Kitchen production facility workers during their...

Chad Surmick / The Press Democrat

A protestor supports Amy’s Kitchen production facility workers during their rally outside the Amy’s Drive Thru in Rohnert Park, Wednesday, Jan. 26, 2022. The workers were protesting conditions on the food line at the production facility. (Chad Surmick / The Press Democrat)

Amy’s Kitchen supporters and allied employees rally in front of...

John Burgess / The Press Democrat

Amy’s Kitchen supporters and allied employees rally in front of the Santa Rosa production facility on Friday, Feb. 4, 2022, in response to complaints about working conditions by other employees. (John Burgess / The Press Democrat)

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John Burgess / The Press Democrat

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Amy’s Kitchen supporters and allied employees raise their voices during a rally in front of the Santa Rosa production facility on Friday Feb.4, 2022, after complaints in the news about working conditions brought forward by other employees. (John Burgess / The Press Democrat)

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Jeff Quackenbush joined North Bay Business Journal in May 1999. Reach him at jeff@nbbj.news or 707-521-4256.

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