DSV Contract Logistics is ceasing operations at a major distribution facility south of Dallas, cutting 391 jobs after losing a customer contract tied to a large consumer goods supply chain network.
The Denmark-based logistics provider said in a WARN notice filed Thursday that it will terminate all operations at a third-party logistics facility located at 101 Mars Road in Wilmer, Texas, with layoffs expected to begin April 30 or within two weeks of that date.
DSV did not disclose the name of the customer.
Contract loss drives shutdown
DSV indicated that operations at the site are expected to continue under a different logistics provider.
“DSV is terminating all of its operations throughout the entire facility,” the company said in its notice.
While the job cuts are classified as permanent, DSV added that most, if not all, affected workers could be offered positions by the incoming operator, suggesting a transition rather than a full closure of the site.
The workforce reduction spans a wide range of roles, with the majority tied to warehouse operations.
According to the WARN filing, the largest impacted group includes:
- 278 forklift drivers
- 26 warehouse operator specialists
- 19 drivers and 19 supervisors
- Smaller numbers of inventory staff, analysts, and management roles
While DSV said many workers could be rehired by the incoming operator, research on outsourcing and contract logistics suggests transitions sometimes leads to lower wages.
Pay for DSV truck drivers varies widely depending on route type, but local and dedicated contract drivers—such as those tied to large distribution centers—typically earn between $55,000 and $70,000 annually, below long-haul driver earnings and slightly under national averages.
Warehouse wages in Texas generally trail national averages, with forklift operators earning roughly $16 to $18 per hour compared to closer to $20 nationally. The pay gap sometimes explains why large-scale distribution hubs cluster in markets like Dallas-Fort Worth—and why labor costs are often a key lever when 3PL contracts change hands.
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