Canadian cannabis company Aurora Cannabis Inc. said on Wednesday that it is laying off 12% of its workforce as part of a reorganization strategy, CBC News reports. The company did not indicate how many employees would be affected by the cuts but Aurora said the move is part of a $70 million to $90 million cost savings.
Earlier this year, the company announced it would close three facilities, including one in Edmonton, Alberta, where 13% of its global workforce was employed, the report says. Over the previous fiscal year, Aurora cut about one-third of its workforce as part of a “corporate reset” while executives saw cash bonuses amounting to $700,000.
In announcing the most recent round of layoffs, Spokesperson Kate Hillyar told CBC News that the reorganization will allow Aurora to operate as a more agile, leaner, and future-focused company, positioning it for success. Hillyer added that the company identified the cost savings in its third-quarter earnings as key to its path to profitability.
A spokesperson told MJBizDaily that employees “will be fully supported as they transition from the company.”
“Today we delivered against that commitment as we announce a corporate reorganization that will allow Aurora to operate as a leaner, more agile, and future-focused company, fit for success in the evolving global cannabis industry,” a spokesperson said in an interview with MJBizDaily. “Aurora continues to make substantial improvements to our business as we work through the phases of our transformation plan, designed to deliver shareholder value, and secure Aurora’s future as a leading global cannabis company.”
Aurora had 1,643 employees as of Sept. 27, 2021, but the company told MJBizDaily that the figure is not current as facility closures and restructuring have occurred since then.
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