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UPS plans mass layoffs and partial closure of Oklahoma City facility

UPS plans mass layoffs and partial closure of Oklahoma City facility

More than 300 employees will be laid off early next year due to the partial and temporary closure of the Oklahoma City United Parcel Service facility, according to the Oklahoma Department of Labor.

According to the Worker Adjustment and Retraining Notice (WARN) issued by UPS, all 304 employees working at 901 S Portland Ave. will be affected by layoffs due to “changing business realities” across the company’s network. For employers with 50 or more employees, or 100 or more employees under federal law, workers receive a WARN notice 60 calendar days in advance of plant closures or mass layoffs affecting 33% of required staff.

“We are modernizing our Oklahoma City UPS facility as part of our Network of the Future initiative,” said UPS spokesman Brian Hughes. “This temporary, partial closure will not impact customer service, and we have plans to continue serving the Oklahoma City community.”

In Oklahoma, the layoffs include 286 HUB workers, 15 front-end loaders, 1 package clerk, and 2 revenue recovery workers and will affect both union and non-union employees. The Georgia-based employer notified employees on Nov. 18, after notifying staff three days in advance. The layoffs will take place on January 15.

David Crow, a spokesman for the Oklahoma Employment Security Commission, said his agency continues to work with the Atlanta-based company as its issues evolve.

“We are working closely with UPS headquarters to determine next steps,” Crow said.

Garsen Hansen, UPS human resources partner director who sent the WARN notice, could not be reached for comment.

POWER SUPPLY We opened a new branch About a year ago at 8825 N Interstate 35 in Oklahoma City, it was supposed to complement the Shawnee, Stillwater and Portland Avenue locations. But in April, the company announced plans to close nearly 200 of its U.S. facilities. However, no closures were announced in Oklahoma at that time.

The mass layoffs and nationwide closures come at a time when UPS is facing legal trouble.

United Parcel Service will pay a penalty of up to $45 million for improper valuation of a business unit, according to the U.S. Securities and Exchange Commission.

The SEC said UPS misrepresented its “earnings due to its failure to follow generally accepted accounting principles (GAAP) in valuing one of its worst-performing businesses.”

It’s unclear whether this is related to layoffs and possible plant closures in Oklahoma.

Contributed by: Reuters