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300+ employees affected as FedEx subsidiary will cease Union City operations

According to a public notice required by law, the first phase of the workforce reduction is set for April 8.
Credit: AP Photo/Mark Lennihan, File
FedEx trucks parked in New York. FedEx plans to deliver packages seven days a week starting next January 2020 as it tries to keep up with the continuing boom in online shopping.

UNION CITY, Ga. — A FedEx subsidiary will soon close up shop at a Union City facility, impacting more than 300 workers according to a public notice required by law.

11Alive's partners at the Atlanta Business Chronicle first reported this week that FedEx Supply Chain Inc. would cease operations at the facility at 6720 Oakley Industrial Blvd., which is not far from the Atlanta airport.

The company has filed a public notice of impending layoffs required under a Georgia law, the WARN Act. That notice indicates a workforce reduction will occur across at least two dates, one on April 8 and another on June 23. It states the total number of affected employees is 326, though that does not necessarily mean layoffs for all of them.

According to a letter the company provided to the Technical College System of Georgia, which catalogues WARN reporting, FedEx Supply Chain Inc. -- which is owned by FedEx -- cited its "customer's decision to transition its business to another location in Jackson, GA" as the reason for ceasing operations in Union City.

In an email response to 11Alive, FedEx said affected team members had been notified of the news in January.

It's not clear how many Union City employees, if any, will be able to transfer to Jackson, but the letter states there "may be employment opportunities for impacted employees at the Jackson Facility in the near future." Affected employees are being notified of other FedEx openings both in Jackson at at any other nearby FedEx facilities, the letter states.

"The customer that occupied space at 6720 Oakley Industrial Blvd in Union City will be moving its operations to a new location in Jackson that will continue to be operated by FedEx. We expect this building to cease operations this spring," FedEx said. "Affected team members were notified in advance of any changes taking place, and we are actively working to transition positions to the new location, as well as assisting with finding other employment opportunities within the company, including at other nearby FedEx facilities in the area."

The letter adds that all affected employees will be "paid wages and benefits through their last day of employment" and "any retirement and group insurance benefits to which employees are entitled will be provided in accordance with the terms of the applicable employee benefit plans." 

See the full letter below and read the Atlanta Business Chronicle report here.

Full FedEx letter

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