The Oklahoma Department of Labor has announced that more than 300 employees will face layoffs at the start of next year as a result of a temporary, partial shutdown of a UPS facility in Oklahoma City.
A recent notification reveals that all 304 employees at 901 S Portland Ave. will face layoffs as a result of evolving business conditions within the company’s network.
Under federal regulations, companies with a workforce of 100 or more are required to inform their employees 60 calendar days prior to any plant shutdowns or significant layoffs impacting 50 or more staff members, or 33% of the total workforce.
“As a part of our Network of the Future initiative, we’re modernizing our Oklahoma City UPS facility,” UPS spokesperson Brian Hughes stated. “This temporary, partial closure won’t impact customer service, and we have plans in place to continue servicing the Oklahoma City community.”
The layoffs in Oklahoma will affect both union and nonunion employees, totaling 286 HUB personnel, 15 pre-loaders, 1 package clerk, and 2 revenue recovery employees.
The Georgia-based firm informed employees three days ahead of time, issuing the alert on November 18. On January 15, job cuts are set to occur.
To enhance its operations at the Shawnee, Stillwater, and Portland Avenue locations, UPS established a new facility in Oklahoma City approximately a year ago at 8825 N Interstate 35.
In April, the company announced plans to shut down approximately 200 of its locations across the United States. At that moment, there were no statements made about any shutdowns in Oklahoma.
The extensive closures and significant job cuts align with UPS’s ongoing legal issues.
The U.S. Securities and Exchange Commission announced that United Parcel Service is set to incur a penalty of as much as $45 million due to the mis-evaluation of a business unit.
The Securities and Exchange Commission announced that UPS misrepresented its earnings due to non-compliance with generally accepted accounting principles (GAAP) in assessing one of its least successful businesses.