Bear Down Logistics, a company that expanded quickly in the past few years delivering packages for Amazon, will no longer be working with the company and was forced to cut hundreds of jobs as a result, according to a report by Bloomberg.
The company is ceasing operations in five states after it failed to meet Amazon’s standards. Because Amazon no longer works with United Parcel Service (UPS) or FedEx, there was an opportunity for smaller outfits to work with the delivery giant. The move shows that while Amazon offers opportunities to smaller companies, it will not hesitate to cut them off if its standards aren’t met.
Facilities in Ohio, Minnesota, Virginia and Illinois will close in April, and about 280 people will be let go. About 120 workers will lose their jobs at a location in Michigan. There’s a facility in Wisconsin whose status is unknown.
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