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Tyson’s Lexington Beef Plant to Close Jan. 20, Erasing 3,200 Jobs

The company says a historically low cattle herd has made its beef unit unprofitable.

Trucks carrying grain drive past cattle in pens at the Darr Feedlot in Cozad, Neb., Friday, Dec. 5, 2025. (AP Photo/Thomas Peipert)
Drivers wait in line at a mobile food bank organized by Crossroads Mission Avenue near the Tyson Foods' beef plant in Lexington, Neb., Thursday, Dec. 4, 2025. (AP Photo/Thomas Peipert)
Tyson Foods employees wait for help at an informational meeting held by the Nebraska Department of Labor in Lexington, Neb., Wednesday, Dec. 3, 2025. (AP Photo/Thomas Peipert)
Two women listen during an informational meeting held by the Nebraska Department of Labor for Tyson Foods employees in Lexington, Neb., Thursday, Dec. 4, 2025. (AP Photo/Thomas Peipert)

Overview

  • University of Nebraska estimates shared with the AP project total job losses of about 7,000 across Lexington and nearby counties when ripple effects are included.
  • Tyson employees are expected to lose roughly $241 million in annual pay and benefits, narrowing household budgets across the region.
  • Economists and local officials warn of an exodus of families that could shrink school enrollment and trigger layoffs at restaurants, shops and other small businesses.
  • School officials estimate nearly half of Lexington’s students have a parent employed at the plant, underscoring the community-wide exposure.
  • Tyson says it is assessing how to repurpose the facility within its production network, offering no details, as it cites plans to right-size operations and a projected $600 million beef loss next fiscal year.