NO LOVE AT KRISPY KREME DONUTS (03/15/23)

MARCH 15, 2023 — 102 LAYOFFS IN CONCORD, NORTH CAROLINA AS FACILITY CLOSES

According to a company spokesperson, “Our fresh daily doughnut business is strong, profitable, and growing quickly. This is the area where we are focusing our investments and resources. Because of this, we chose to exit our underperforming, extended shelf-life snack aisle business and cease production at our manufacturing facility in Concord, N.C., where these snack aisle products were made. We are supporting our affected employees, all of whom are eligible to apply for any open position or for severance and outplacement services. We are grateful to all of them.”

OCTOBER 10, 2022 — 80 LAYOFFS AND IOWA PLANT SHUTDOWN BY CO-PACKER BLACK HAWK FOOD SERVICE.

Black Hawk Food Services, a manufacturer and packer of Krispy Kreme Inc. products, will close its plant in Burlington, Iowa, impacting 80 employees as operations are relocated to Winston-Salem, North Carolina, and Concord, North Carolina.

The decision was driven by inflation and the cost of transportation.

DECEMBER 8, 2017 — Original post…

Krispy Kreme, my favorite donut maker will be laying off 90 workers in a transition move from its present Winston-Salem headquarters to a new headquarters in Charlotte, both in North Carolina (USA). It appears that the Global headquarters will remain in Winston-Salem, but may be moved to London, England, at some future time. It has been suggested that Krispy Kreme will keep a minimal presence in its founding city, but the recently appointed CEO has already signaled the transition with his purchase of a home in the Charlotte area, specifically in Lake Norman.

The company is owned by JAB Holding Company, a privately-held German company based in Luxembourg whose portfolio includes such brands as Coty, Panera, Keurig, various premium coffee chains, Jimmy Choo, Bally, and other premium brands. It is likely that the parent company JAB will be moving pieces around the chessboard as it acquires additional companies and seeks to eliminate duplicative efforts and flatter in the organization.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

NO LOVE AT CAPITAL ONE (UPDATED)

UPDATE: NOVEMBER 8, 2017 — IT'S EVEN WORSE ...

11/8/2017 -- The number of Capital One employee layoffs has climbed to over 1,000 as the company announces the closure of its mortgage and home equity operations IN Plano, Texas and another 130 employees in other places.  

Original Post ... It appears that Capital One is continuing their restructuring which is resulting in mass layoffs and moving operations to lower cost venues. The latest move is to transfer more than 100 jobs from San Francisco to other areas (said to be Texas and the Mid-Atlantic area) to reduce labor costs associated with prevailing wages in areas of high-cost living expenses.

In Reporting Third Quarter (2017) results, Richard D. Fairbank, Founder, Chairman and Chief Executive Officer notes, "We posted another quarter of resilient and responsible growth." "We continue to carefully manage risk across our businesses. And, we're driving improving efficiency even as we invest to grow and to transform our company as banking goes digital."

There is little doubt that automation will transform the banking industry and significantly reduce headcounts as expert systems and artificial intelligence takes over.

NO LOVE AT B&H PHOTO

One of my favorite sources for camera and electronic equipment, B&H photo in New York is preparing to lay off approximately 375 workers at its New York location as they transition to a facility in New Jersey. 

As crazy as it sounds, the United Steelworkers union has been bargaining with B&H for the past year and has filed an NLRB (National Labor Relations Board) complaint that the company never mentioned that they were scouting for a facility outside of New York. B&H said that their lease was expiring and they could not locate a suitable facility in New York. 

The union cast the company in the worst possible light.

“USW District 4 Director John Shinn questioned the credibility of B&H management’s claim that it could not find a suitable alternative location in the New York City area. ‘Moving to South New Jersey will make it difficult, and certainly a challenge, for employees currently relying on public transportation to accept employment offers at the new site,’ Shinn said. ‘This is clearly an illegal tactic designed to avoid the company’s obligation to bargain in good faith.’ Shinn said that B&H warehouse employees chose USW representation in spite of management’s threats to fire employees who voted for the union and will continue to fight for their right to bargain collectively. ‘As a union, we know that as long as we stay united, our solidarity will prevail against the challenges before us,” Shinn said. “In addition to our legal filings, we will reach out to elected officials and community leaders to ensure B&H warehouse workers receive a fair opportunity for their voices to be heard on the job and at the bargaining table.’”  <Union Media Release>  

The company prevails.

"B&H today announced that on July 24th, the National Labor Relations Board (NLRB) dismissed allegations that B&H was moving its Brooklyn warehouses to New Jersey to avoid the union that represents its warehouse employees."

"The NLRB decision affirms B&H’s position that the plans for the move began years before employees voted to join a union; that the lease for B&H’s Navy Yard facility expires in early 2018 without a renewal option; that the Navy Yard previously assigned rights to the B&H space to Steiner Studios upon lease expiration; and that the move to New Jersey is part of a long-held plan to modernize its fulfillment center in a large, single facility to better serve customers and compete more effectively in the global economy."

“'We appreciate the fact that a neutral arbiter looked at the facts and made clear that we are making this move for exactly the reasons we stated,' Jacob Mittelman, VP of Operations, said. 'The facts are clear for all to see, and we hope this resolves the misleading concerns some groups have raised.'”

B&H has been the target of a misleading campaign by several so-called labor advocacy groups alleging that the warehouse moves are part of a scheme to avoid bargaining with the union. B&H is gratified that the NLRB has rejected these claims that B&H believes are untrue and solely aimed at damaging our reputation. <B&H Media Release>

One might wonder why the union did not work with the company, but then again, unions are about seniority over merit, increasing wages with little or no increase in productivity, and anti-automation. I recommend that you read the company’s unique history as it is a testament to hard work and shrewd dealing.