Layoffs hit Amazon Fresh, Kroger, UNFI and other food companies

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.

United Natural Foods Inc. 

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

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. 

Amazon Fresh

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.

“Certain store locations work better than others, and after an assessment of our offering we’ve decided to close our Amazon Fresh store in Federal Way,” Amazon spokesperson Griffin Buch told the Seattle Times.

Randalls

Randalls is closing a grocery store in the Houston area and laying off 102 workers, according to a WARN notice filed with the state.

The layoffs will be finalized by Aug. 16. 

“In such a competitive environment, our company must sometimes make the tough decision to close an underperforming store so that we can reinvest in our remaining stores in the marketplace,” Christy Lara, Albertsons Cos. public relations director for Texas and Louisiana, told the Houston Chronicle. 

Randalls is a subsidiary of Albertsons Cos.

Bakery Barn LLC

Protein bar and snack maker Bakery Barn LLC is closing a factory in Pleasant Hills, Pennsylvania, and laying off 82 employees, according to the Pittsburgh Post-Gazette. 

The closure is scheduled to be finalized by Aug. 1. The company cited “changing business needs.”

Bakery Barn LLC was acquired by New York-based 1440 Foods in November, according to a news release.

Conagra Brands Inc.

Chicago-based Conagra Brand plans to close a food production facility in Fennville, Michigan, laying off 75 employees. The layoffs will be finalized by Aug. 29.

“Conagra has made the difficult decision to discontinue its production operations and close its facility to improve efficiencies and effectiveness within its supply chain network,” the company said in a WARN notice.

Conagra Brands (NYSE: CAG) is a consumer packaged goods company that makes and sells products such as Slim Jim, Duke’s and Orville Redenbacher. 

Conagra has 42 production and distribution facilities in the U.S., Canada and Mexico. The company employs over 18,600 workers.

Del Monte Foods Inc.

Del Monte Foods Inc. (NYSE: FDP) is closing a fruit processing facility and two warehouses in Yakima, Washington, and laying off 51 full-time workers and 448 seasonal employees.

Company officials said the closure of the facilities are meant to align the business with consumer demand. The layoffs are scheduled to begin on Aug. 8.

Walnut Creek, California-based Del Monte Foods has production and distribution locations across the U.S. and Mexico. 

The Kroger Co.

Officials for The Kroger Co. said they plan to close more than 60 stores across the U.S. by the end of 2026.

The news was part of Kroger’s first-quarter earnings report released on Friday. 

“In the first quarter, Kroger recognized an impairment charge of $100 million related to the planned closing of approximately 60 stores over the next 18 months,” the company said in a statement. “As a result of these store closures, Kroger expects a modest financial benefit.”

Kroger has not released a public list of the 60 stores slated for closure or how many employees will be laid off.

The Kroger Co. (NYSE: KR) is headquartered in Cincinnati, Ohio. It operates more than 2,700 stores under a variety of banner names. 

Kroger employs over 400,000 associates across the country, according to Macrotrends and Stock Analysis.

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