A Wave of Layoffs Hits the Freight Industry in California and Texas, Affecting Over 1,048 Workers

Logistics News

28-May-2025

Over the past week, Amazon, FedEx, UPS, and F&S Produce West LLC have announced layoffs affecting more than 1,048 people in California and Texas.


United Parcel Service (UPS)


UPS plans to eliminate two shifts at a warehouse in West Sacramento, California, resulting in the layoff of 355 workers by mid-July.


According to The Sacramento Bee, the Atlanta-based company said the cuts are part of a company-wide initiative described as “the largest network reorganization in UPS history.”


In April, UPS informed investors that it plans to lay off about 20,000 employees and shut down 73 facilities by the end of the year.


FedEx Supply Chain Logistics and Electronics


FedEx Supply Chain Logistics and Electronics said in a Worker Adjustment and Retraining Notification (WARN) filed with the state that it will lay off 305 employees at its North Fort Worth logistics center in Texas.


The company stated the layoffs will be completed by October 25, citing client loss and a new contract with another third-party logistics provider as the reason.


FedEx said the North Fort Worth facility will remain operational with 275 remaining employees.


F&S Produce West LLC


Agricultural products and food wholesaler F&S Produce West plans to lay off 255 workers from its facility southeast of Houston.


L&T Precision


According to a WARN notice, specialty manufacturer L&T Precision will close its plant in Poway, California, and lay off 81 employees.


The facility, which provides manufacturing services for the aerospace and defense industries, is scheduled to close on August 1.


Amazon


According to WARN filings, Amazon will lay off 52 employees at four facilities in Sunnyvale, California.


This includes 33 employees from Amazon’s Lab126—an engineering and tech center—and 19 workers from tech and fulfillment centers in the city.


Amazon did not specify the reason for the layoffs.


This wave of layoffs not only reflects the severe challenges faced by the logistics and freight sectors but also underscores the far-reaching impacts of global economic fluctuations, supply chain instability, technological innovation, and intensifying market competition.

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