LAYOFFS: NO LOVE AT XPO LOGISTICS (12/06/20)

Am I Next? Routine layoffs at XPO Logisitics.

DECEMBER 6, 2020 — WAREHOUSE RELOCATION WITH 73 LAYOFFS IN CARLISLE, PENNSYLVANIA

The company has announced that its employees will no longer be needed at an Amazon warehouse located in Carlisle, Pennsylvania.

According to a company spokesperson, “Our customer made a business decision to move to another location.”

NOVEMBER 21, 2020 — 53 LAYOFFS IN LANCASTER, TEXAS

The company has announced that it will be laying off 53 employees working at the Lancaster, Texas facility run for Swedish appliance maker Electrolux AB.

The decision was driven by the customer who is said to be “making a business model change.” The contract work will be brought in-house.

According to a company statement, “The consolidation will result in the customer absorbing the work currently performed by XPO in Lancaster. XPO and our customer have agreed to transition the work and terminate the current contract between the companies effective January 10, 2021”

JUNE 13, 2020 — 243 LAYOFFS IN DALLAS, TEXAS

XPO has announced that it will be laying off 243 employees at a Dallas, Texas distribution facility on July 17, 2020. The decision was driven by the termination of a customer contract due to changes in the customer’s business model. The customer is planning to continue operations at the distribution facility, but it is unknown if the company or a new contractor will hire the laid off workers.

FEBRUARY 14, 2020 — 304 LAYOFFS IN FORT WORTH, TEXAS

According to an XPO announcement, the company plans to lay off a total of 304 workers at its Fort Worth, Texas distribution center facility on April 12, 2020. It is unknown whether or not XPO’s customer who is assuming control over its distribution center will hire the displaced workers.

In January 2020, XPO the announced its  reorganization plan that will explore the sale of the company, except for its North American less-than-truckload division. Driving this decision is the failure of management to earn a premium valuation for its shares from Wall Street investors who value the company as a comparable to similar companies.

JANUARY 22, 2020 — XPO LAYS OFF 185 EMPLOYEES IN WEST JEFFERSON, OHIO

The company plans to shutdown a warehouse it operates on behalf of Mars Petcare which is said to be consolidating its operation. The layoffs are scheduled to begin March 20, 2020.

A company spokesperson noted, “We understand that Mars Petcare continues to finalize its transition plans, but we expect that, when finalized, these plans will be permanent and will affect the operations that support Mars Petcare at the entire facility.”

JANUARY 10, 2020 Original post…

Greenwich, Connecticut-based XPO Logistics, Inc., a large third-party provider of logistics management and freight services, has announced the layoff of 166 employees, including managers, operators, supervisors, and other support personnel at the Hazelwood, Missouri facility it manages for Prestige Brands, a manufacturer of over-the-counter health care and household cleaning products, which is consolidating their operations. The layoffs will occur over a two-week period commencing on February 7, 2020.

A statement issued to the Missouri State Employment Department noted, “XPO regrets that its customer's decision will result in the termination of employment for all employees at the Facility, beginning February 7, 2020. We understand that Prestige continues to finalize its transition plans, but we expect that, when finalized, these plans will be permanent and will affect the operations that support Prestige at the entire Facility.”

These type of layoffs are common with XPO-managed operations as XPO operates at the sole direction of their customers who are subject to the normal vagaries of business. 

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

LAYOFFS: NO LOVE AT UNIVERSAL LOGISTICS (04/07/24)

Am I Next? Labor issues at Universal Logistics or layoffs in response to a business decline?

APRIL 7, 2024 — 677 DETROIT MICHIGAN EMPLOYEES

The company has announced plans to lay off 677 workers at its auto parts sequencing plant in Detroit, Michigan on May 31, 2024. The layoffs will impact workers at the company’s two Universal-affiliated entities, Logistics Insights Corp. and Universal Dedicated of Detroit MI LLC.

According to informed sources, “Stellantis is pulling the work from Universal so it can give the contract to a non-union operator to save money running the warehouse, which supplies parts to the automaker’s nearby Jeep assembly plants.”

JANUARY 6, 2020 — Original post…

Warren, Michigan-based Universal Logistics Holdings appears to be responding to a weaker market for freight services by laying off 70 drivers at its three subsidiaries, Universal Intermodal Services, Universal Truckload Services and Roadrunner Intermodal Services. The drivers appear to provide port and intermodal services associated with Los Angeles and Long Beach, California ports. According to some employees, the company is reducing salaried drivers and relying more on independent contractors with their own trucks.

A company spokesperson for Universal claimed, “Given the dynamic nature of the transportation industry, our companies continue to make strategic business decisions – some growth-related and some efficiency-related – as part of marketplace fluctuations. We have also streamlined some of our operations.”

Roadrunner Intermodal told drivers provided letters to its drivers that noted, “soft freight conditions in 2019 have necessitated that we evaluate our current staffing levels” heading into 2020. As a result, with much consideration, we regret to inform you that Roadrunner Intermodal Services is reducing all company driver positions effective Friday, Dec. 20, 2019.”

Complicating matters are employee claims of actions taken after they decided to unionize and joined the Teamsters’ Local 848. And, of course, California’s union-backed AB-5 legislation which penalizes classifying workers as independent contractors.

According to the Teamsters…

“In direct and flagrant violation of California’s Assembly Bill 5, which unequivocally makes it illegal to misclassify California’s truck drivers as ‘independent contractors,’ multi-billion dollar logistics company Universal Logistics Holdings has fired up to 70 employee port and intermodal drivers in at least three subsidiaries – Universal Intermodal Services, Universal Truckload Services, and Roadrunner Intermodal Services. Drivers report that the company told them that if they buy their own trucks then they can come back to work as independent contractors.”

“Universal’s morally reprehensible action happens just weeks after 28 employee drivers at Universal Intermodal voted overwhelmingly to be represented by Long Beach-based Teamsters Local 848, all of which have now been fired. It appears they are being replaced by misclassified independent contractors, in flagrant violation of federal labor laws. Further, under Section 6 of California’s Assembly Bill 5 (AB5), “No provision of this measure shall permit an employer to reclassify an individual who was an employee on January 1, 2019, to an independent contractor due to this measure’s enactment.” 

The union’s claims may have some merit since the company has settled a number of labor actions in the past.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

LAYOFFS: NO LOVE AT NIO USA

Am I Next? NIO USA Layoffs after INTEL deal.

San Jose, California-based NIO USA, the U.S. headquarters of the Chinese electric automaker NIO, has announced another reduction in force in its San Jose operation. Commencing in February, 2020 NIO will eliminate another 141 positions in San Jose campus, including management, software engineers, mechanical design engineers, and technical support personnel. This is the companies third round of professional employee reductions as NIO continues to bleed cash.

Many believe that the decision to layoff professional staff was driven by a recent deal with Intel

According to a company spokesperson, “NIO has folded the vehicle engineering and electric powertrain divisions that it operated in the San Jose office, but the bulk of the layoffs were made to the startup’s autonomous driving team. Those cuts are related to a recently announced partnership with Intel’s autonomous driving arm Mobileye, which resulted in redundancy and duplications of effort associated with our path toward a Level 4 autonomous driving electric vehicle 

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?