63 N.B. jobs lost as cannabis company closes up shop

The closure of five Canopy Growth locations across Canada means the loss of 63 jobs in New Brunswick. 

A news release from the cannabis company announced a total of about 220 jobs would be lost with closures in St. John's, Bowmanville, Ont., Edmonton, as well as Fredericton. Outdoor grow operations in Saskatchewan are also being shut down. 

"Canopy Growth has made the strategic decision to close a number of its production facilities and can confirm that its site in Fredericton, New Brunswick, will be closing as a result of the larger restructuring efforts outlined by the company earlier this year," Jordan Sinclair, Canopy Growth's vice-president of communications, wrote in an emailed statement.

In its release, Canopy Growth said it was necessary "to streamline its operations and further improve margins" as reasons for the closure, which comes 16 days before Christmas. 

As of 1 p.m. Wednesday, the Fredericton location, which manufactures the company's Tweed brand of recreational cannabis, had no employees on site.

A single security guard was present to direct questions to the company's media line in Ontario. 

Short time in New Brunswick

CBC News requested an interview with Canopy Growth but was only provided email statements. 

Canopy Growth was first authorized to cultivate cannabis plants and seeds in New Brunswick in March 2019. 

At that time the $40-million, 86,000 square-foot-plant was expected to produce more than 5,000 kilograms of cannabis buds a year.  

The company was receiving $1.3 million over five years in the form of a payroll rebate from the former Liberal government.

But the company said in 2019 that it would only get that full amount once it had reached 100 employees at the Fredericton location, its maximum number. 

Cannabis NB a target

Canopy Growth was also one of the eight companies vying to take over Cannabis NB, a New Brunswick crown corporation.

A year ago, the provincial government put out a call for a private operator to take over its 20 cannabis retail locations across the province. It's unclear where that decision stands. Cannabis NB has since made a case to remain under provincial control, citing recent profitability, after spending its first year operating at a loss. 

"We feel for the 48 employees in the Lincoln area and employees across the province," said Mary Wilson, the MLA for Oromocto-Lincoln-Fredericton, where the Canopy Growth facility is located. 

"Certainly, losing jobs in our local area, anywhere in the province, or the country for that matter is devastating, it's very difficult."