Tyson Foods, a major producer of beef, chicken, and pork, as well as one of the largest food companies in the world, made a major decision to close a plant. It has now shut down its beef plant in Lexington, Nebraska, and ended operations at what had been one of the largest employers in the community.
The closure has left thousands unemployed and sent ripple effects through Lexington’s economy, as local leaders and state officials grapple with the loss.
Tyson Foods Lexington Plant Closes
Tyson Foods was founded in 1935. The company has a worldwide network of brands and facilities that provide protein products to retailers, foodservice operators, and consumers in many countries, and is headquartered in Springdale, Arkansas.
According to Tyson Foods, its mission is to deliver safe, affordable food and to take care of team members, communities, and its long-term sustainability objectives. On or about January 20, 2026, Tyson Foods permanently shut down its beef processing plant in Lexington, Nebraska.
One of the pillars of the town’s economy was the Lexington plant, which was part of Tyson’s beef production chain. In November 2025, the company announced it was closing as part of a broader restructuring intended to help it right-size its beef business and position it for long-term success.
Tyson will also transform its Amarillo, Texas, beef plant into a full-capacity shift under the changes and expand production in other plants.
According to Nebraska Public Media, Tyson Foods said the restructuring ensures the company can continue delivering high-quality, affordable products for the long term. The company also mentioned that they will assist the impacted team members to go through the transition, as well as in seeking employment elsewhere or even relocation allowances where applicable.
Impact of Major Plant Closure on Employees and Community
The effect of the closure on the city of Lexington has been tremendous. The plant, the region’s largest employer for decades, supported nearly 3,200 jobs and shaped the local housing market, schools, and businesses.
The shutdown costs Nebraska through lost economic activity and spillovers, including thousands of jobs in supporting industries, as lower household spending impacts local services and businesses.
Several Lexington families have had to make a difficult choice between moving and travelling a long distance to get a new job. Another issue arising from the closure is a potential loss of population, leading to a decline in school enrolment and local taxes. Churches, nonprofits, and area leaders have been marshaling forces in support of families who are affected.
Government leaders described the closure as a huge blow to the area, requiring concerted action to assist affected employees and to explore future economic prospects for the community.
The Tyson plant closure marks a significant shift for both the company and the rural Nebraska community that depended on it. Although Tyson is positioning the action as part of a necessary effort to reinforce its long-term operations, the short-term impacts on employees and the local population are bleak.
Ongoing support programs and targeted economic policies will be key as Lexington adapts to this change.
