DHL Supply Chain is laying off 394 workers across two of its facilities in Livermore, California, according to Worker Adjustment and Retraining Notification Act notices dated Dec. 14.
A total of 350 employees will be laid off from one of the facilities in Alameda County, and 44 from the other, effective Feb. 12, 2023, according to the notices. Employees impacted by the changes include forklift operators, material handlers, kitting technicians and supervisors.
Despite the layoffs, the facilities will remain open.
A DHL Supply Chain spokesperson said in an email that the staffing adjustments are in response to a “planned strategic change in one of our customer’s business.”
“As a result of the continued growth in our overall business we will be offering affected employees first-consideration for open opportunities at other DHL Supply Chain sites in the area,” the spokesperson told Supply Chain Dive.
DHL Supply Chain has been significantly expanding its operational footprint over the past year. In October, the company planned to hire 12,000 warehouse employees to help with anticipated peak season volumes. To further service demand, DHL Supply Chain and robotics company Locus Robotics announced in September plans to deploy autonomous robots at two of its Ohio warehouses to help with order fulfillment.
The company also bought a 1 million-square-foot distribution facility in Indiana — its eighth facility in the state — and revealed plans to invest $400 million to expand its cold storage capabilities.
In Q3, DHL Supply Chain posted total revenue valued at roughly $4.44 billion as of Thursday, according to a quarterly statement. That was up 15% YoY.