Sunday, 19 November, 2017

Kellogg to shut down distribution centres, cut 1000 workers

Tribune Chronicle files
Kellogg will close many distribution centers across the U.S. including in Warren Cereal giant Kellogg's to cut 400-plus Texas jobs
Marta Holmes | 01 June, 2017, 01:17

Kellogg's is closing its Cincinnati distribution center this summer, prompting the layoff of 248 employees.

The warehouse model already is used in 75 percent of Kellogg's USA sales, including the Pringles and frozen foods, the company said.

Kellogg shuttering distribution centers across the nation and laying off more than 1,000 workers, including 190 in Earth City, as it follows through with a cost-cutting plan first outlined in February.

The Kellogg Company has announced hundreds of layoffs and several plant closure across the nation, including in MI.

Earlier this year, Kellogg said it would close almost 40 distribution centers and use a warehouse system.

Company officials said the change in its distribution model will reduce its cost and provide new opportunities for growth. Sales have been declining since 2013 at Kellogg.

The Battle Creek, MI-based food company intends to close two distribution sites in Texas, cutting over 400 workers when layoffs begin this July, the Dallas Morning News reported, citing filings from the Texas Workforce Commission.

The company said it won't disclose specifics on jobs cuts and the location of facilities slated to close, though it is required to notify various state agencies about facility closures.

At the center, 211 employees will be permanently laid off. Facilities in Charlotte and Greensboro, N.C., will also close, affecting 500 workers.


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