Canopy Growth continues to lay off as part of “strategic adjustments”

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Canopy Growth, one of the largest cannabis companies in Canada and around the world, has announced new maneuvers to reduce operating costs, including “downsizing” and reducing the number of “members of the dedicated team.

Calling them “strategic adjustments” in its press release, Canopy says these changes “are expected to generate savings of $100-150 million within 12-18 months. »

“Due to these difficult but necessary changes to the organizational structure, team members will be impacted as the company will operate with a reduced workforce in the future. The Canopy management team wishes to recognize the efforts of these individuals during their tenure and thank them for their contributions to the Society,” the press release notes.

“To achieve profitability and power growth, we are taking critical steps to evolve Canopy Growth into an agile organization with a clear focus on areas where we have the greatest potential for success,” said David Klein, Chief the management of Canopy Growth.

“These necessary changes are being implemented to ensure that the size and scale of our operations reflect current market realities and support the long-term profitability of our business. »

The company laid off several hundred people at the end of 2020 and another 75 staff at the start of 2021 following the closure of several production sites and internal “restructuring” efforts. Canopy was also dropped from the S&P/TSX 60 index last March and announced quarterly losses in February.

The company reported a net loss of $115.5 million in its latest quarter, compared to a net loss of $829.3 million a year earlier. Its net income also fell by 8%.

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