Rich Logistics Announces Closures Of Five Terminals, Mass Layoffs At Five Other Locations

Truck drivers and employees for Rich Logistics were notified by letter on September 30 from the company's president that it was closing five terminals and significantly reducing its workforce at four locations.

According to the Federal Motor Carrier Safety Administration's SAFER site, the company has nearly 520 truck drivers.

The company, headquartered in Little Rock, Arkansas, stated the decision was reached "after carefully assessing our operations and anticipated corporate needs," according to the letter written by Shannon Everett, president of Rich Logistics.

The termination date for notified employees is expected to be November 29, the letter stated.

Rich Logistics, which is owned by RoadRunner Transportation Systems RRTS, will be permanently closing its terminals in: Kansas City and St. Louis, Missouri; Burton, Michigan; and Brownsville and Laredo, Texas.

The company will be significantly reducing its workforce at its Dallas, El Paso and Van Ormy, Texas, locations, and its sites in Little Rock, Arkansas, and Nashville, Tennessee.

The company said it is complying with the federal Worker Adjustment and Retraining Notification (WARN) Act, which requires employers with more than 100 employees to provide their workers with a 60-day notice of a mass layoff.

RoadRunner has been working to emerge from a financial scandal after three of its former executives were indicted by federal officials in an alleged accounting and securities fraud case that was discovered in May 2017.

This story will be updated throughout the day.

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