Abbie Food Trading Company

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ABBIE Food Trading Company

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ABBIE Food Trading Company3




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ABBIE Food Trading Company


ABBIE Food Trading Company has decided to close three departments (deli, confectionary, and onsite prepared meals) in order to refurbish for its new venture in the catering service. The management team now has to make sure the company has all legal rights to layoff their employees. The team will also need to develop a criteria matrix for the layoff to insure all federal and local employment laws are adhered too.

ABBIE's will need to ask some questions on whom, what, when and how these departments will be closed. Once this is information is narrowed down, the team will fine-tune the legal constraints. This paper will address the legal obligation that ABBIE's has to their employees in reference to the layoff, contracts with the local organic growers, product liability and regulatory implications and employment laws for new hires.

Many concerns exist for ABBIEs when considering a contract agreement with growers. If ABBIEs has a good agreement signed with growers, they will be able to control their product quality. ABBIEs can also limit their liability by sharing or shifting to the growers. ABBIEs can increase their cash position with an exclusive contract through favorable payment terms with growers.

ABBIE Fine Foods, owner Kathy ABBIE has recently expanded her business to include a catering service, but she needs to be aware of basic food regulations, product liabilities, and good workplace practices to meet all requirements set by food and safety regulations.

In today's society many consumers such as very young children, the elderly and pregnant women with very sensitive immune systems that is more at risk for food borne illnesses. “According to the Center for Disease Control and Prevention (CDC) there are five factors that contribute to the unsafe food preparation techniques in food establishments that is considered food borne illnesses by the FDA” (U.S. Department of Health and Human Services, 2006, P.3).

Warning and safe labeling on food is to help keep consumers abreast of food borne illness and how to prepare food the proper way. These warning labels help many consumers change the way they handle food preparation at home to prevent making themselves ill.

Five food borne illnesses are:

Unsafe food sources

Insufficient cooking times

Inaccurate temperatures for holding food.

Unclean equipment

Staffs personal cleanliness

Kathy ABBIE and her operations management team will need to decide on a food management safety system that will help them manage their food related risk. One-way ABBIE can began to implement a safe food managing plan is to take a general assessment of food regulations set by the Hazard Analysis and Critical Control Point (HACCP) system. “Hazard Analysis and Critical Control Point (HACCP) system determines where contamination can happen during food production” (U.S. Department of Health and Human Services, 2006, P.11).

Section 205.308 of the National Organic Program (Agricultural Marketing Service - National Organic Program, 2008), requires that organic food be produced, processed, certified, and labeled to meet national organic standards.

Here are four approved organic labeling methods:

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