Logistics layoffs top 800 as contracts unwind across trucking, warehousing

Over 800 logistics workers were laid off in the past three weeks as major 3PLs like Saddle Creek and Ryder lost contracts, with shippers bringing operations in-house. Contract churn is driving warehouse closures and trucking capacity exits across multiple states.
Shippers pulling logistics in-house signals potential FBA capacity constraints and higher 3PL rates for remaining providers. Monitor your fulfillment costs closely as fewer logistics options could mean price increases and service disruptions.
Logistics consolidation creates a supply-demand imbalance that typically leads to higher fulfillment costs and reduced service options for marketplace sellers relying on 3PL networks.
Review your 3PL contracts now -- if using affected providers like Saddle Creek or Ryder, prepare backup fulfillment options before Q4.
Check FBA capacity limits in Seller Central -- logistics consolidation could create Amazon warehouse bottlenecks during peak season.
Bottom Line
800+ logistics layoffs mean tighter fulfillment capacity for sellers.
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Industry Context
Useful background context, but lower-priority than direct platform, community, or operator intelligence.
Impact Level
medium
800+ logistics layoffs mean tighter fulfillment capacity for sellers.
Key Stat / Trigger
829 job cuts across trucking and warehousing in three weeks
Focus on the operational implication, not just the headline.
Full Coverage
More layoffs have hit supply chain-related companies across the United States, signaling that while trucking spot market conditions have stabilized in some lanes, contract freight — particularly in dedicated and warehouse-linked operations — remains under pressure.
Recent WARN filings, company disclosures and media reports show 829 job cuts tied to contract losses, facility closures and shifting supply chain strategies across multiple states over the last three weeks.
Contract churn drives warehouse job cuts Saddle Creek Logistics Services is laying off 168 workers at its New Caney, Texas, facility near Houston, with cuts effective June 11 after a customer opted to bring operations in-house. The affected roles are primarily forklift operators and warehouse workers.
The move follows earlier 2026 layoffs by Saddle Creek, including 151 workers in Bessemer, Alabama, highlighting a broader trend of shippers reevaluating outsourced logistics networks. Similarly, Ryder System is exiting warehouse operations in Waterloo, Iowa, after a contract was not renewed.
The closure will result in 153 layoffs by July 24, though the company said it will help transition workers to the incoming logistics provider. Trucking firms cut drivers, dockworkers after lost business In the trucking sector, Day & Ross USA is eliminating 149 jobs across five states following lost business tied to contract negotiations in 2025.
About 100 of those cuts are at its Hamilton, Ohio, facility, including 36 dockworkers and 54 drivers. Another 32 employees are being laid off in Utica, Michigan. Fuel hauler Sentinel Transportation LLC is also reducing headcount, cutting 126 employees across 25 locations in California in permanent layoffs.
The company, a subsidiary of Phillips 66, operates more than 30 terminals nationwide. The cuts reflect continued softness in certain freight segments, particularly contract freight tied to industrial and energy demand.
Multi-state closures hit regional logistics networks Legacy Supply Chain Operations is closing four facilities across Alabama, Kentucky and Tennessee, eliminating 133 jobs. The company did not disclose a reason for the closures in state filings.
Meanwhile, last-mile delivery provider Pave It Forward Logistics abruptly shut down operations March 31, laying off 100 workers in Lebanon, Tennessee, according to local reports. Employees were reportedly given no severance or transition support.
Freight market signal: volatility persists The layoffs cut across warehousing, dedicated contract carriage and last-mile delivery — segments closely tied to shipper demand cycles and contract stability. A common thread: customer decisions.
Shippers bringing logistics in-house Contracts not being renewed or renegotiated Facility consolidations across regional networks For freight markets, the trend reinforces a familiar pattern in the downcycle: capacity exits not only through bankruptcies, but also through incremental job cuts tied to contract churn.
Layoffs spread across trucking, warehousing as contracts shift CompanySegmentLocationEmployees laid offReasonSaddle Creek Logistics ServicesWarehousing / 3PLNew Caney, Texas168Client took operations in-houseRyder SystemWarehousing / LogisticsWaterloo, Iowa153Contract non-renewal; warehouse closureSentinel Transportation LLCFuel tanker trucking25 locations in California126Permanent layoffs / workforce reductionDay & Ross USATrucking / TransportationFive states; about 100 in Hamilton, Ohio; 32 in Utica, Michigan149Lost business after contract negotiations in 2025Legacy Supply Chain Operations3PL / Supply chainFour locations in Alabama, Kentucky and Tennessee133Facility closures; reason not disclosedPave It Forward LogisticsLast-mile deliveryLebanon, Tennessee100Ceased operationsTotal layoffs listed: 829 across trucking, warehousing, fuel hauling, 3PL and last-mile delivery.
The post Logistics layoffs top 800 as contracts unwind across trucking, warehousing appeared first on FreightWaves.
Original Source
This briefing is based on reporting from Freightwaves. Use the original post for full primary-source context.
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