Cardinal Logistics Management Corp. will lay off 69 employees in Salem, Va., on Dec. 2 because of the “unexpected termination of a major business contract,” according to a filing with the state. Most of the 69 are truck drivers.
The Worker Adjustment and Retraining Notification was sent to the Virginia Board of Workforce Development on Oct. 2.
The Roanoke Times reports the company lost a large contract with supermarket chain Kroger, although a third-party logistics firm wouldn’t confirm the identity.
“The sole customer we are servicing at that location is transitioning to a new provider and therefore we will not have work for the affected employees. We are making our best efforts to reassign these employees to other operations,” Cardinal Logistics Management Corporation wrote in a statement.
Cardinal Logistics Holdings — the parent company — ranks No. 19 on the Transport Topics Top 50 list of the largest logistics companies in North America.