UNFI has announced that the Fort Wayne, IN. Distribution Center will be closed following previous announcements of layoffs and closure of facilities. In October, UNFI announced that it would be outsourcing administrative functions resulting in 300 layoffs in the Phoenix, AZ. Location. In June, UNFI closed their Harrisburg, PA distribution center eliminating 87 jobs. Earlier in 2024 the National Labor Relations Board disapproved outsourcing of trucking to J.B. Hunt in Florida placing 80 driver positions in jeopardy.
In early November, Teamsters Local 853 in California won a grievance complaint requiring UNFI to pay $1.3 million to drivers arising from a collective bargaining agreement. The dispute between the Teamsters Local and UNFI will now move to arbitration.
In addition to problems associated with driver retention and remuneration, the company faces a class-action lawsuit by suppliers alleging serial and longstanding underpayment.
Financial problems experienced by UNFI arise from loss of business with the acquisition of Whole Foods Market by Amazon and more recently adoption of in-house distribution by Ahold-Delhaize banners.
For the most recently concluded FY2024 ending August 3rd UNFI posted a loss of $112 million on sales of $30,980 million with a negative EPS of $(1.89). Comparable values for FY 2023 were earnings of $24 million on sales of $30,272 million with an EPS of $0.40.