Yelloh, formerly Schwan’s, announced to state officials that they were closing locations and laying off employees.
According to a Worker Adjustment and Retraining Notification (WARN) from the Employment Security Department, this will be a closure and it includes jobs at the Montesano location.
In addition to Montesano, locations in Bellingham, Mukilteo, Richland, Spokane, and Tacoma are involved in the closures.
58 workers are expected to be affected by the change.
The exact number of jobs lost in Montesano is not known at this time.
Yelloh responded to a request from KXRO about the change, stating;
“This was not an easy decision for our company, because we cherish our drivers and the special role they play in our local communities. But unfortunately, these locations were no longer profitable to continue with our yellow truck service.”
They tell KXRO that the company will transition how we serve the areas. Customers will still be able to get items by using the company’s app, ordering online, or by calling to receive products via UPS.
“We are taking care of our team with appropriate notice and pay in accordance with the WARN act, and team members can apply for other open roles within the company.”
The closure and job reduction is scheduled to occur as of October 20.
Cygnus Home Service, LLC, formerly known as Schwan’s Home Delivery, began a rebrand as Yelloh in 2022, and they were making changes to move more ordering through their app and online.
“Schwan’s Home Delivery was started in 1952 as a new business model for selling my family dairy’s ice cream,” said Paul Schwan, executive chairman of Yelloh. “Since the beginning, our can-do attitude coupled with a desire to meet people where they’re at is what has made our company so special. As Yelloh, we will continue to operate as the same solutions-focused food delivery service that keeps our customers’ freezers stocked and their families happily fed.”
In their March 2022 announcement, Yelloh stated that the transition was expected to be fully implemented by the beginning of this year with Schwan’s Home Delivery operations proceeding uninterrupted as the transition to Yelloh is applied to truck and other branding, with customers continuing to receive delivery in the company’s iconic yellow vehicles.
Officially based in Minnesota, the company states that they employ around 2,500 workers and nearly 200 local delivery hubs nationwide.
Staff from the local rapid response team with the Employment Security Department and WorkSource center will perform outreach to employees of the organization to ease the transition.