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Last MileNewsParcel

Amazon delivery contractor Bear Down Logistics to shutter facilities

Bear Down Logistics, a provider of last-mile package delivery for Amazon.com (NASDAQ: AMZN), is shutting down seven locations after the online retailer pulled its contract. It’s not clear how many facilities the company had, but all indications are that it is going out of business.

On Wednesday, the company filed a notice with the Virginia Employment Commission that it intended to close its Richmond terminal and let go 75 employees by April 13. It also notified the Ohio Department of Job and Family Services that it would close its Fairfield facility outside Cincinnati, resulting in 105 layoffs.

Contacted by phone, Michael Dipiazza, Bear Down’s vice president of operations, confirmed the Virginia closure and said the company, based in suburban Chicago, is shutting down seven locations. He declined to provide further details.

The Illinois Department of Commerce & Economic Opportunity, in response to an inquiry, said it received a notice this week that Bear Down Logistics was shutting the main office in Mokena, Illinois, and laying off 62 employees.

“We work with thousands of carrier partners around the world to help us deliver packages to Amazon customers, and we have a responsibility to our customers and the communities where we operate to ensure these partners meet our high standards for things like safety and working conditions,” Amazon said in a statement provided to FreightWaves. “Occasionally we need to end a relationship with a partner and when this happens we are committed to helping the impacted employees find opportunities with other delivery service partners or to learn more about the thousands of available roles at Amazon delivery stations and fulfillment centers.”

Amazon has high delivery standards for partners in its Amazon Prime one-day service.

“While you’re not an Amazon employee, Amazon still pulls all the strings. If you work for Bear Down, realize that Amazon frequently changes its mind and you can be gone in just a moment,” an employee in Richmond, Virginia, posted on the Indeed job board in January.

Kansas-based RCX Logistics, also known as RailCrew Xpress, is also citing the loss of its Amazon contract as the reason it will permanently lay off hundreds of delivery drivers in Texas, Alabama and Florida in April.

Bear Down’s owners previously were contractors for FedEx Ground, according to the company’s website.

Under federal law, companies with more than 100 employees are required to file Worker Adjustment and Retraining Notices with states at least 60 days in advance of plant closings and mass layoffs.

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Eric Kulisch, Air Cargo Market Editor

Eric is the Air Cargo Market Editor at FreightWaves. An award-winning business journalist with extensive experience covering the logistics sector, Eric spent nearly two years as the Washington, D.C., correspondent for Automotive News, where he focused on regulatory and policy issues surrounding autonomous vehicles, mobility, fuel economy and safety. He won a regional Gold Medal from the American Society of Business Publication Editors for government coverage, and was voted best for feature writing and commentary in the Trade/Newsletter category by the D.C. Chapter of the Society of Professional Journalists. As associate editor at American Shipper Magazine for more than a decade, he wrote about trade, freight transportation and supply chains. Eric is based in Portland, Oregon. He can be reached for comments and tips at ekulisch@freightwaves.com

7 Comments

    1. I do. And when they finally put their name tractors on the road alot of people are going to be hurting. And dont think they will want to pay top dollar for drivers either

  1. sad to see so many people losing their jobs like this. hard to believe that all these companies were doing a terrible job! meanwhile old bezos bought a 165 million dollar estate for cash in LA. Bravo Amazon.

  2. You I told you so goes he already has robotic warehouses so now he’s going to use as little human as he can mean while if we keep ordering from him our brick and mortar stores are going to close and then game over they can charge what ever they want due to no competition

  3. If you, as a service provider only have 1 customer and that customer has VERY high standards for what they’re getting – you better meet them or end up out of business.

    The failure here isn’t Amazon but a company that put all their eggs in one basket and then didn’t ensure those eggs didn’t break.

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