UNFI will close Rhode Island office, laying off 121

Layoffs have been a central part of United Natural Food Inc.’s new three-year strategy. The wholesale distributor of natural, organic, and specialty foods confirmed to Supermarket News on Tuesday that it will initiate the second phase of layoffs announced in the fall.

A total of 121 layoffs are tied to the closure of UNFI’s Lincoln, R.I., office and affect positions in human resources, accounts payable, and billing. In October, the company announced it was letting go of nearly 300 workers as it transferred certain tasks to a third-party provider. The Phoenix office was also closed.

The first round of layoffs at the Lincoln office will take place over two weeks, beginning on Jan. 24, with a second round scheduled for June 20.

“At UNFI, we are always working to enhance the service we provide to our retailer and supplier partners. As part of this effort, we recently transferred a portion of our high-volume and transactional billing, invoicing, and payroll tasks, as well as our contact centers, to a third-party business and technology services provider,” said UNFI spokesperson Charles Davis in an emailed statement to Supermarket News. “We expect this change to allow us to serve our partners more efficiently and effectively over time. We are grateful to the UNFI associates affected by this change and remain focused on supporting them through this transition.”

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Davis could not confirm whether more layoffs were expected.

UNFI has executed a string of layoffs as the company launches a three-year strategy to increase customer and supplier value, expand margins, generate free cash flow, and reduce leverage.

Three weeks ago, the company announced the closure of a distribution center in Fort Wayne, Ind., which will impact 156 employees. Some truck drivers will be retained as part of the restructured transportation operations.

UNFI also shut down its transportation department at the Harrisburg, Pa., distribution center in June, eliminating 87 positions.

Earlier this year, UNFI attempted to outsource trucker jobs to the nonunion employer J.B. Hunt but was overruled by the National Labor Relations Board. The NLRB determined that the company failed to provide sufficient evidence that 80 truck drivers would not lose their jobs.

UNFI plans to relocate its corporate headquarters to downtown Providence, R.I., at 15 Park Row West in the summer of 2025. Associates from the current Providence headquarters at 313 Iron Horse Way, as well as those remaining in the Lincoln office, will move to the new location.

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