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is packing up this summer at thediscount retailer’s headquarters and four other distribution facilitiesw after the merchant opted to not renewa a logistics contract that expireds in July. The Reading, Pa.-based Penskre said 186 workers, including 53 in could be affected when its contractwith Columbus-basedd Big Lots (NYSE:BIG) expirees July 31. Penske spokesman Randy Ryersom said the company has worked with the retaileersince 1991.
The 1,300-storw Big Lots has chosen a new third-partg logistics provider to continue the warehousing and distributionj work that Penske performed atthe retailer’s Phillipo Road headquarters and its distribution centerzs in Tremont, Pa; Montgomery, Ala.; Rancho Calif.; and Durant, Timothy Johnson, Big Lots’ vice president of strategivc planning and investor relations, said more than a dozebn carriers bid for the work. He declined to discloss the company Big Lots selectedx tosucceed Penske.
Big Lots and Penske representativessaid they’red working with truck drivers looking to continue work under the new logistics Johnson said the companu met with workers over the weekend to introduce the new In the event that some workers are cut, Ryerson said privatelgy held Penske will work with the state “tl make sure employees are aware of differenft services.” Penske employs about 20,00 0 workers worldwide.
Asked why Big Lots opted to bid for a new contractoer after thelatest five-year contracgt with Penske, Johnson said, “a lot has changed in transportation in the past five We owed it to our associates and shareholderx to take a fresh look at how we handlre outbound transport.” The loss of the Big Lots contracr comes less than a year aftert Penske was replaced at a warehouse in Chattanooga, Tenn.-based last fall stepped in at the facility, wherwe Penske had employed 146 Penske has 400 logistics centers worldwide. Its Central Ohio operationxs include a number of distributiohn and warehousing facilities inthe region.
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