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Freight Distress: 1,850 Jobs Cut Across Logistics, Manufacturing

Fifteen companies across nine states will cut 1,850 jobs, from Amazon delivery contractors and 3PL warehouses to food plants and an OSB mill curtailment in Texas.

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Marcus Bennett
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Freight Distress Report: Logistics, manufacturing cuts put 1,850 jobs on chopping block
Freight Distress Report: Logistics, manufacturing cuts put 1,850 jobs on chopping blockAI-generated

Key points03

  • 4XH Logistics, an Amazon Delivery Service Partner, is closing in San Antonio and cutting 230 jobs after its Amazon contract ended; layoffs run Nov. 6-19.
  • Louisiana-Pacific is indefinitely curtailing OSB production in Jasper, Texas, affecting 150 workers, with $4-6 million in one-time costs expected in 2026.
  • CJ Logistics America will close its 1.1 million-square-foot food-grade warehouse in Newville, Pennsylvania, on Oct. 31, affecting 56 employees.

Fifteen companies across nine states will cut roughly 1,850 jobs, with the heaviest losses concentrated in final-mile delivery contractors tied to Amazon's network and the food, packaging and building-materials plants that generate their freight.

The latest Freight Distress Report tally spans Texas, California, Georgia, Pennsylvania, Maryland, Ohio, Alabama, Indiana and Massachusetts. Transportation and logistics operators account for the largest single bloc of cuts: 4XH Logistics, Ardor Delivery Services, Postal Center International, Eagles Delivery and Capstone Delivery. But freight-generating producers — Louisiana-Pacific, Ruiz Foods, FPL Food, Flagstone Foods and Packaging Corp. of America — account for the rest, a signal that freight demand weakness now reaches well beyond carrier payrolls.

Amazon contractors shed hundreds of jobs

Two Texas delivery companies are eliminating a combined 345 positions.

4XH Logistics LLC, a San Antonio-area Amazon Delivery Service Partner, is shutting down after its contract with Amazon ended. The closure eliminates 230 jobs, with layoffs starting Nov. 6 and concluding Nov. 19, according to WARN filings and local reports. Company President Gabriel Hilario said the loss of the Amazon contract forced the closure.

Eagles Delivery LLC reported 115 job cuts in Roanoke, Texas. Its WARN notice was filed Sept. 8, with layoffs effective Sept. 12.

Another Amazon contractor, P1 Logistics LLC, expects to permanently cease operations in Littleton, Massachusetts. The company notified state officials that 77 employees will be affected — 74 delivery associates and three managers — on a schedule running Oct. 24 through Dec. 23.

In Ohio, Ardor Delivery Services filed a WARN notice covering 179 employees in Centerville, listing the action as a closure effective Nov. 26. Capstone Delivery Inc. is closing its South Gate, California, operation, affecting 106 employees beginning Nov. 21; the filing identifies a permanent plant closure in transportation and warehousing.

For Amazon, the churn is limited to individual DSP partners rather than the network itself. For the contractors' employees and local trucking labor markets, however, five closures in four states inside a single month point to how quickly a terminated contract wipes out an entire workforce.

Warehouses go dark

CJ Logistics America plans to close its food-grade-certified logistics facility in Newville, Pennsylvania, affecting 56 employees. The roughly 1.1 million-square-foot site closes Oct. 31, according to the Pennsylvania Department of Labor & Industry.

Kenco Logistic Services is closing a Northampton, Pennsylvania, facility affecting 52 employees, with reductions beginning Nov. 16 and running through April 1, 2027, per the state's WARN database. Kenco had already announced earlier this year that it would eliminate 86 jobs at a Charlotte, North Carolina, warehouse after losing a customer contract, with another 3PL expected to take over that facility by May 17.

Postal Center International, a mail, fulfillment and logistics provider, is closing its Brownsburg, Indiana, operation, affecting 151 employees.

The pattern is familiar to 3PL watchers: when a shipper retenders a warehouse contract, the incumbent's headcount disappears even if the freight simply moves across the street. For shippers, the practical consequence is capacity consolidation among surviving mid-size warehouse operators.

Food producers trim capacity

Ruiz Foods, one of the nation's largest frozen Mexican food manufacturers, announced 176 layoffs at its Dinuba, California, plant. Six workers were cut between Sept. 2 and Sept. 9; another 170 positions go Nov. 4. President and CEO Kimberli Carroll said the reductions align production capacity with anticipated customer demand. The Dinuba plant, which employs about 1,400 workers, will remain open.

FPL Food LLC is eliminating 179 positions at its Augusta, Georgia, operation, with the permanent reduction in force effective Oct. 31 under a WARN notice filed Aug. 31. Flagstone Foods, a private-label snack manufacturer, will cut 98 jobs in Dothan, Alabama, beginning Oct. 22. CTI Foods Bean LLC is permanently closing its Saginaw, Texas, plant, eliminating 66 jobs by Nov. 9.

Louisiana-Pacific curtails OSB output

Louisiana-Pacific Corp. is indefinitely curtailing oriented strand board production at its Jasper, Texas, facility, affecting 150 workers beginning Oct. 2. The company told the Securities and Exchange Commission it expects $4 million to $6 million in severance and other one-time costs during 2026.

The curtailment carries freight implications: OSB moves in volume by truckload to residential and commercial construction sites, so an indefinite production halt removes a block of construction-material tonnage from Texas truckload lanes.

Packaging and beverage cuts round out the tally

Packaging Corp. of America is closing a Gas City, Indiana, manufacturing operation, eliminating 72 jobs effective Nov. 2. Pepsi Beverages is cutting 143 jobs at its Hyattsville, Maryland, site — a mass layoff with no recall, effective Nov. 13.

The rundown

Company Location Jobs Action/date
4XH Logistics San Antonio, TX 230 Closure; begins Nov. 6
Ardor Delivery Centerville, OH 179 Closure; Nov. 26
FPL Food Augusta, GA 179 Layoff; Oct. 31
Ruiz Foods Dinuba, CA 176 Layoff; Nov. 4
Postal Center Intl Brownsburg, IN 151 Closure
Louisiana-Pacific Jasper, TX 150 Curtailment; Oct. 2
Pepsi Beverages Hyattsville, MD 143 Layoff; Nov. 13
Eagles Delivery Roanoke, TX 115 Layoff; Sept. 12
Capstone Delivery South Gate, CA 106 Closure; Nov. 21
Flagstone Foods Dothan, AL 98 Layoff; Oct. 22
P1 Logistics Littleton, MA 77 Ceasing ops; Oct. 24–Dec. 23
Packaging Corp. of America Gas City, IN 72 Closure; Nov. 2
CTI Foods Bean Saginaw, TX 66 Closure; Nov. 9
CJ Logistics America Newville, PA 56 Closure; Oct. 31
Kenco Northampton, PA 52 Closure; begins Nov. 16

The cuts stretch from production plants that generate truckload freight to warehouses, fulfillment operations and final-mile contractors. With most of these actions taking effect between late October and late November, freight markets should expect the associated volume and labor effects to land in the fourth quarter, and further distress reports will show whether the closure trend accelerates into 2026.

Original: getfreightdata.com

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Marcus Bennett

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Senior reporter covering marketplaces and e-commerce at Waybill Wire.

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