Sector News

Kellogg to shutter distribution centers

May 31, 2017
Food & Drink

Kellogg Co. has begun submitting plans to close distribution centers in cities across the United States. This is in keeping with the company’s February “Project K” announcement to shift from its direct-store delivery distribution model to a warehouse model.

Distribution centers in Houston and Fort Worth, Texas, were among announced closings on May 30, which will affect more than 400 employees. Nearly 500 employees will be laid off from Greensboro and Charlotte, N.C., distribution centers along with almost 250 from the center in Sharonville, Ohio, the company said. Kellogg also announced the closing of its centers in Weston, Fla., laying off almost 250 workers.

Earlier in the year, Kellogg announced plans to shutter distribution centers in Kansas City and Earth City, Mo.; Syracuse, Batavia, Johnson City and Schenectady, N.Y.; Vadnais Heights, Minn.; Detroit; Warren, Ohio; Franklin Mass.; Evansville, Ind.; and Hagerstown, Md.

All announced distribution center closings should be completed between late July and mid-August. In total, Kellogg plans to close nearly 40 centers nationwide.

By Matt Hamer

Source: Food Business News

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