MEMPHIS, TN (WMC) - A Memphis warehouse facility will close this spring, leaving 400 people without a job.
The International Brotherhood of Teamsters released a letter from Verizon-contracted XPO to its Memphis employees, saying it will close April 15.
They said it's due to a business model change at Verizon.
“I still have friends who are in this building that’s suffering. They don’t know where to turn now. They don’t know if they are going to have a job. They don’t know if they are going to be replaced. They are worried,” Tasha Murrell of Teamsters said.
Congressman Steve Cohen (D-TN) issued this statement on the closing:
The Teamsters organization wants to unionize the employees.
A spokesperson for XPO Logistics said they plan to place the employees in new jobs locally.
The company said in a statement, “we have new jobs available for the majority of these employees in our 11 other local facilities.”
The XPO spokesperson says the company will open a new facility this year, bringing 80 more jobs to the area.
The same facility was the subject of a New York Times investigation into pregnancy discrimination after several workers miscarried.
Teamsters call the closure blatant retaliation to the exposure despite XPO saying that wasn't the case.
"It’s a sad day for the XPO workers because again we didn’t set out for the building to be closed down, shutdown because we still have human being in this building that are still working. People that gave their blood, sweat and tears in here for years," Murrell said.
In response to the retaliation allegation, the company released a statement that said in part, “XPO has a strict no retaliation policy in place that applies to the company as well as individuals.”
This warehouse closure comes after recent XPO layoffs of more than 300 employees in Maryland and Kansas City.