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Delta 9 Announces Round of Layoffs

January 9, 2023 10:45 AM | News

Delta 9

A tent sits outside of the Delta 9 Cannabis Store at 1-827 Dakota Street on Tuesday, October 16, 2018, the night before cannabis became legal in Canada. (CHRISD.CA FILE)

Winnipeg-based Delta 9 Cannabis is beginning the new year by making cuts to its workforce.

The company is reducing capacity at their local cultivation facilities by approximately 40 percent, resulting in temporary layoffs of 40 staff members.

“Delta 9’s retail operations have achieved profitability and positive operating cash flows over the past several years,” said Mark Jonker, COO of Delta .


“Our cultivation and wholesale cannabis operations have struggled with profitability due to continued price and margin compression in the Canadian cannabis market. Our decision is designed to significantly reduce costs and to chart a near-term path to becoming positive cash flow from operations.”

Delta 9 says the company is also reducing public company and investor relations costs. The board of directors and executive have also agreed to reduce compensation to achieve positive cash flows from operations in the current fiscal year. The cost savings are expected to reduce operating costs by $3 million to $4 million in 2023.