BUFFALO, N.Y. (WIVB) — A wholesale grocer that employs 600 Buffalo workers at a warehouse says its business no longer fits in Buffalo, and will be transferring its warehouse out of the area.
Ahold USA, which operates warehouses for C&S Wholesale Grocers, says all of its retailers are based in areas closer to the east coast, with dozens in New Jersey, Pennsylvania, Maryland, Virginia, Washington, D.C. and the Massachusetts area.
With no retail locations in the Buffalo area, Ahold representatives say it no longer makes fiscal sense to keep a large 600-employee warehouse in the area and ship goods over a distance that is longer than necessary.
“Decisions to transfer facilities are not easy and we understand the concern that this change will cause for ASC associates and their families,” Jan van Dam, the executive vice president of supply chain for Ahold USA, said. “We are committed to treating all associates affected by this decision in a fair and respectful way.”
The transition will last until August of 2016, compromising the jobs of roughly 600 associates in the Buffalo area, but all 556 full-time associates will receive severance packages based on years of service.
Ahold USA says it will work with the Department of Labor and other nearby companies to attempt to pair associates with new opportunities.