RNDC to axe 463 jobs
Republic National Distributing Company (RNDC) is planning to lay off more than 400 workers in Washington and Oregon as it seeks to close facilities in both markets.
Last week (18 May), the distribution firm filed a Worker Adjustment and Retraining Notification (WARN) with Washington’s Employment Security Department. There are 267 jobs at risk, according to the notice, spread across four sites in the state of Washington, with the majority (166 workers) in the city of Auburn.
RNDC also issued a WARN on the same day in Oregon, which will impact 146 workers across four facilities.
The Washington WARN notice said the US distributor was “exploring various strategic alternatives, including potential sale transactions” of certain operations and across certain markets.
As such, RNDC intends to sell its four facilities across Washington – located in the cities of Auburn, Everett, Spokane and Seattle – to a third party subject to approval.
In Oregon, the US distributor is planning to offload its sites in the cities of Bend, Eugene, Medford and Portland.
The potential staff cuts come just weeks after RNDC agreed to sell its Oregon and Washington operations to Columbia Distributing.
Furthermore, in South Dakota, RNDC filed a WARN on 19 May regarding plans to lay off 53 workers with the closure of sites in Sioux Falls and Rapid City.
Employees are expected to lose their jobs on or shortly after 17 July.
The WARN notices state that there are no guarantees that the purchaser of the sites or operations will take on the employees.
In a statement, RNDC confirmed it had issued WARN notices “related to pending transactions involving its business in the Pacific Northwest”.
It continued: “These notices are intended to comply with legal requirements associated with a potential transaction and do not represent confirmed layoffs, facility closures, or a completed transaction.
“The proposed transactions remain pending and subject to further negotiations, approvals, and closing conditions.
“There are no immediate changes to current operations or employment status, and RNDC continues to operate independently in these markets unless and until any transaction is completed.”
Shrinking US footprint
RNDC has been trimming its US presence in the past 12 months. Earlier this month, RNDC revealed plans to exit Kentucky and Indiana after agreeing a deal with Breakthru Beverage Group.
Last month, RNDC agreed to sell its operations in all 17 US control states to Martignetti.
In March, Reyes Beverage Group agreed to take on five more additional US states from RNDC, bringing the total to 11.
It followed RNDC’s exit from California last summer.
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