News Summary
United Natural Foods Inc. has declared the closure of its distribution center in North Whitehall Township, impacting 717 employees, including 172 truck drivers. The layoffs are scheduled from August to October 2025, following the end of a supply agreement with Key Food Stores. The closure aligns with UNFI’s reevaluation of its logistics and supply chain, influenced by recent operational challenges, including a cyberattack. Stakeholders are concerned about the economic impact on the local community as they transition to other distribution centers.
Pennsylvania – United Natural Foods Inc. (UNFI) has announced the closure of its distribution center located at 4255 E. Independence Drive in North Whitehall Township, Lehigh County, Pennsylvania, leading to significant layoffs affecting 717 workers. The layoffs, which include 172 truck drivers, are scheduled to commence on August 12, 2025, and will continue until October 18, 2025.
The decision to shut down the facility is primarily linked to the termination of a supply agreement with Key Food Stores Co-Operative Inc., which is set to conclude in September 2025. This mutual decision comes as part of UNFI’s broader evaluation of its distribution network, reflecting shifts in operational needs and market conditions.
As one of UNFI’s 11 facilities in the Northeast, the North Whitehall distribution center plays a crucial role in the company’s logistics and supply chain management. Following the closure, the affected customers will be redirected to other nearby distribution centers, including those located in Philadelphia, Manchester, York, Harrisburg, and Carlisle, Pennsylvania. This adjustment aims to minimize disruption in service and ensure continued support for UNFI’s client base.
The company recently faced additional challenges, including a cyberattack that caused operational disruptions, further influencing its strategic decisions regarding facility management and resource allocation. This incident has underscored the importance of maintaining an efficient distribution system to adapt to unforeseen circumstances.
Local business owners have expressed concerns about the impending layoffs, noting that the workforce at UNFI significantly contributes to the local economy. The closure is expected to have a ripple effect on surrounding businesses that rely on the patronage of UNFI employees.
On June 10, 2025, the company filed a Worker Adjustment and Retraining Notification (WARN) with the Pennsylvania Department of Labor & Industry, as required by law when announcing large-scale layoffs. This notification informs employees of their rights and the expected employment impacts resulting from such a significant reduction in workforce.
UNFI has acknowledged the contributions of the employees affected by the layoffs, expressing gratitude for their service during their tenure with the company. In these challenging times, the organization is focusing on transitioning its operational strategies while striving to support both its customers and its workforce to the best of its ability.
The closure of the North Whitehall Township distribution center marks a significant shift in UNFI’s operational strategy as it continues to adapt to the evolving grocery wholesale landscape. As the company navigates through these transitions, stakeholders are watching closely to understand how these changes will ultimately shape the future of UNFI and its impact on the local economy.
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