IOWA CITY, Iowa — Kraft Heinz will close seven plants in the U.S. and Canada as part of a downsizing that will eliminate 2,600 jobs, or roughly 14 percent of its North American factory workforce, the newly merged food company announced Wednesday.

The company said the closures, which will take place over the next two years, are part of a plan to save $1.5 billion in operating costs by the end of 2017. The plants slated for closure are in California, Maryland, New York, Pennsylvania, Wisconsin and Ontario.

Among the hardest hit cities will be Madison, Wis., where a nearly century-old Oscar Mayer plant that employs 700 production workers will close. Kraft Heinz said it would also move about 250 corporate jobs from Madison to Chicago, the company’s co-headquarters along with Pittsburgh.

One of the plant’s workers, 46-year-old Rick Schroeder, said he was stunned to hear about the closing through news reports rather than from the company. He said his father also worked at the plant for 35 years and operated a pig farm, and he remembers going with his father to deliver pigs to the plant.

“They always say when one door closes, another opens,” said Schroeder. “Gotta have faith. Move on, that’s all you can do. Sad day in Madison.”

The company said it would also close plants in Fullerton and San Leandro, Calif.; Federalsburg, Md.; St. Marys, Ontario, Canada; Campbell, N.Y.; and Lehigh Valley, Pa.

The company also will shift meat production from its Oscar Mayer plant in Davenport, Iowa, to a planned $203 million plant that will be built several miles away. City and state officials said the new plant is expected to retain at least 475 jobs.