MYNORTHWEST NEWS

Seattle-based logistics company lays off a third of its staff

Sep 28, 2023, 12:37 PM | Updated: 2:41 pm

flexe...

(Photo courtesy of Flexe)

(Photo courtesy of Flexe)

A Seattle-based logistics provider, Flexe, is laying off a third of its workforce, the company announced Thursday.

Flexe filed a notice with the Washington Employment Security Department that 131 people would be laid off by Nov. 27.

“(We made) the difficult decision to part ways with 33% of staff,” the company confirmed in an email to FreightWaves, which bills itself as a price reporting agency focused on the global freight market. “We are sincerely saddened to lose such great talent. Our team remains focused on serving our enterprise customers. As hard as this was for us, we sincerely acknowledge the challenges it presents to those impacted.”

Washington employment news: T-Mobile’s upcoming layoffs to impact over 400 Bellevue employees

Flexe, a distribution company that provides logistics warehousing and transportation for retailers, was founded in 2013 and is headquartered in Seattle’s SODO neighborhood. FreightWaves reported Flexe reached a $1 billion valuation in 2022. Its customers include Ace Hardware, Ralph Lauren, Staples and Walmart.

But this is the second time in 14 months that Flexe has had to lay off staff, as the firm laid off an unspecified number of employees in its recruiting department in July 2022.

More on Washington worker reductions: MultiCare to lay off over 220 employees due to ‘financial challenges’

Many logistics companies have had to cut costs due to a softer freight market after expanding their employee levels due to increasing demand during the peak of the COVID-19 pandemic, as Supply Chain Drive explained. The outlet, which covers the supply chain management industry, also noted “the economic landscape has evolved, with logistics providers now facing a softer freight market and looking to cut costs.”

Other logistics and transportation firms have completed layoffs this year. In August, Yellow Corp. filed for bankruptcy, Knight-Swift Transportation initiated a round of layoffs in 2023, while Flexport laid off about 20% of its staff in January. Coyote Logistics and Uber Freight have also faced layoffs.

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