Kansas-based RCX Logistics, also known as RailCrew Xpress, is citing the loss of its Amazon (NASDAQ:AMZN) contract as the reason it will permanently lay off hundreds of delivery drivers in Texas, Alabama and Florida in April.
According to Worker Adjustment and Retraining Notification (WARN) Act notices filed in the three states, RailCrew Xpress will lay off more than 500 drivers at its facilities in Austin, Houston and Fort Worth, Texas.
It will also lay off 72 employees and drivers in Tampa, Florida, who were Amazon Flex drivers.
Sixty-four drivers and two office employees in Alabama will also lose their jobs, David Niesen, a dislocation workers specialist with the Alabama Department of Commerce, told FreightWaves. However, his office hasn’t yet seen a copy of the notice as it was mailed to the state agency, but he confirmed the layoffs with RailCrew Xpress.
Sandy Walker, vice president of human resources for RailCrew Xpress, confirmed the layoffs in the three states to FreightWaves but provided no additional details.
RailCrew Xpress also provides transportation services for railroad crews.
Bear Down Logistics, another Amazon delivery contractor, announced it will shutter seven locations on April 13 after Amazon pulled its contracts
This is a developing story.