Noi Mahoney
5 min read
A surge of closures and layoffs has hit workers and companies tied to food production, distribution and retail across the U.S.
Since the beginning of May, there have been over 1,513 job cuts announced, according to media reports and Worker Adjustment and Retraining Notification (WARN) Act notices.
Among the companies facing layoffs are Amazon Fresh, The Kroger Co., Del Monte Foods Inc., Conagra Brands Inc., United Natural Foods Inc., Bakery Barn LLC, Randalls and Albertsons.
Wholesale distributor United Natural Foods Inc. (UNFI) plans to close a distribution center in Schnecksville, Pennsylvania, eliminating 716 jobs, according to a WARN notice.
The closure of the UNFI warehouse is the result of a split with client Key Food Stores Co-op Inc., according to filings with the Securities and Exchange Commission.
“The agreement will terminate on or around Sept. 20, and Key Food’s conventional products business in the Northeast will transition to another wholesaler,” UNFI said. “[UNFI] believes this is a positive outcome for both parties. The agreement allows [UNFI] to exit an unprofitable relationship.”
The layoffs will be finalized by the end of October.
Matawan, New Jersey-based Key Food Stores is a cooperative of independently owned and operated grocery stores throughout the Northeastern part of the U.S. The company has around 448 locations.
UNFI (Nasdaq: UNFI) is a Providence, Rhode Island–based natural and organic food company. The company is one of Whole Foods Market’s main suppliers.
Albertsons Cos. Inc., which includes Safeway, has laid off 275 employees from its corporate workforce in Phoenix.
The employees affected by the layoffs were mostly in administrative jobs, Albertsons told the Phoenix Business Journal.
It was at least the second round of staff cuts made this year by Albertsons. In February, Albertsons laid off 156 Safeway corporate employees in Pleasanton, California, according to WARN notices.
Albertsons also plans to close a grocery store in Portland, Oregon, by July 1. The location employs 87 workers, according to a WARN notice filed with the state.
Albertsons Cos. Inc. is based in Boise, Idaho. The company, which includes Albertsons, Safeway, and Vons stores, has over 2,200 locations in 34 states and 285,000 employees.
E-commerce giant Amazon (Nasdaq: AMZN) has closed an Amazon Fresh grocery store in the Seattle area, resulting in 125 job cuts. Amazon officials said the store closed on Sunday.
The Amazon Fresh store was located in the Seattle suburb of Federal Way.
