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Snack manufacturer to eliminate nearly 100 jobs in Alabama

Flagstone Foods plans to eliminate 98 jobs at its Dothan, Alabama peanut processing facility, according to a WARN Act notice filed August 20. Layoffs are scheduled to begin October 22, 2026, giving affected workers two months' notice and severance support. The company is not closing the Dothan facility itself, but restructuring operations across its locations. The Alabama Department of Labor WARN filing identifies this as a workforce reduction tied to consolidating private label snack production from Texas to existing operations.

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What Flagstone Foods Does

Flagstone Foods is a snack manufacturer that produces Emerald Nuts and supplies private label products to major national retailers and food companies. The company operates facilities in multiple states.

Its Dothan location handles a specialized, round-the-clock operation: peanut blanching (24/7), peanut and tree nut roasting, and supply to national branded food companies and retailers. The Dothan facility is a core production hub for the company's nut processing. The operation represents the type of food manufacturing work that has historically anchored regional employment in Alabama.

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Why the Layoffs Are Happening

The 98-job reduction is tied to a larger company restructuring. Flagstone is shifting private label production from a facility in El Paso, Texas to operations in Robersonville, North Carolina and Dothan, Alabama.

The consolidation reduces redundancy across the company's footprint while maintaining the Dothan facility as an active production site. This restructuring typically reflects efforts to optimize manufacturing capacity and reduce overlap between locations. The Dothan facility will continue operating after the layoffs end, suggesting the cuts target specific job functions rather than the entire operation.

What Affected Employees Receive

The WARN Act requires employers to give 60 days' notice before layoffs. Flagstone is providing affected Dothan employees with 60 days of paid leave, severance pay, benefits continuation, and employee transition support during the notice period.

These provisions exceed the legal minimum notice requirement. Paid leave through the notice period means workers have income while searching for new employment, and benefits continuation protects health insurance coverage during the transition.

Timeline for Affected Workers

The formal timeline runs from August 20 to October 22. Employees have 60 days from the WARN notice to prepare for the separation.

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This window allows time to explore local job opportunities, enroll in training programs, or make relocation decisions. October 22 marks when the layoffs begin, though the company's support (paid leave, benefits, transition assistance) extends through the full 60-day notice period.

The Dothan Facility Remains Open

A critical distinction: the WARN filing identifies this as a layoff rather than a permanent facility closure, and does not indicate the Dothan operation itself is shutting down. The facility will continue peanut and nut processing operations after October 22.

This means some jobs will remain at the site; the 98-person reduction represents a partial workforce cut, not a plant-wide closure. Future hiring or operational changes would depend on company decisions not yet announced.

Frequently Asked Questions

Is the Dothan facility closing?

No. The WARN filing identifies this as a workforce reduction, not a facility closure. The Dothan peanut processing operation will continue after October 22.

How much notice are workers getting?

60 days, required under the WARN Act. The WARN notice was filed August 20, with layoffs beginning October 22, 2026.

What happens to affected employees' health insurance?

Flagstone is continuing benefits coverage during the 60-day notice period, protecting workers' insurance access while they transition to new employment.

Why is Flagstone making this cut?

The company is consolidating private label snack production from El Paso, Texas to North Carolina and Alabama locations, reducing overlap between facilities.


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