Struggling cannabis producer Aurora Cannabis has announced a new round of staff layoffs and its plans to shut five facilities over the next two quarters amid the coronavirus pandemic.
The Canadiana marijuana industry has been hit by the COVID-19 crisis, which has also upended financial markets, making it harder to get investor dollars.
In an effort to stay afloat, the company has cut its general and administrative (SG&A) workforce by 25% and will lay off 30% of production staff over the next two quarters.
It was in February that the company announced the exit of founder and Chief Executive Officer Terry Booth, and 500 job cuts and impairment charges.
Other big marijuana producers have also cut their workforce including Canopy Growth (WEED.TO), Tilray Inc (TLRY.O), Sundial Growers Inc (SNDL.O) and Hexo Corp (HEXO.TO).
Aurora expects SG&A expenses to be around C$42 million ($31.07 million) in the first quarter of fiscal 2021, compared with C$75.1 million, excluding severance costs, recorded in the third quarter.
Aurora, scheduled to report its fourth quarter results in September, said it expects production asset impairment and other charges of up to C$200 million in the quarter.