The company, which specialized in on-demand deliveries for the healthcare and life sciences industries, is laying off dozens of employees who report out of its Upper Providence office.
The company, which specialized in on-demand deliveries for the healthcare and life sciences industries, is laying off dozens of employees who report out of its Upper Providence office.company that arranged transport for specialized items including organs, blood, and drugs ceased operations last week, eliminating dozens of jobs in.
It is also laying off all employees, including 86 who work in or report to its Media location, according to a layoff notice filed last week to the Pennsylvania Department of Labor and Industry, as is required by the federal WARN Act. The company expects all layoffs to occur between June 4 and June 30. All employees were notified of the layoff on June 3.
American Expediting was founded in 1983 by Wharton graduate Victor Finnegan as a one-man courier operation, growing to more than 300 employees across overAmerican Expediting partnered with independent contract drivers, many of whom carried specialized certifications to transport medical and life science materials, including pharmaceuticals, animals, and organ, blood, and tissue shipments. The company also provided air services, distribution and warehousing, facilities and fleet management, and logistics services.
Under the WARN Act, companies are required to give 60 days’ notice before closing or laying off staff. Companies can, however, sidestep the 60-day notification requirement in specific cases, including unforeseeable business circumstances, a caveat cited by American Expediting.
The company has been “operating in a challenging environment” with “reduced healthcare spending and ongoing pressures across the transportation sector,” Katie Petrie, American Expediting’s vice president of human resources, wrote in the notice to the state.to secure funding from an outside investor or lender. American Expediting believed there was a “realistic opportunity” to secure financing and that providing WARN notices while it was seeking funding would have hurt the effort to secure financing, according to the WARN notice.on American Expediting’s website says the company will complete shipments in its possession as of June 3 and will no longer accept new shipments.
Customers were expected to transfer shipments to a different logistics provider, and warehouse customers were asked to contact American Expediting and arrange to pick up inventory immediately, according to the company’s website.
“Our thoughts are with the employees, drivers, agents, customers, and partners who have been part of this company and this community. For many, this announcement brings uncertainty, disappointment, and difficult conversations about what comes next,” a post from American Expediting on LinkedIn read. Want to get Inquirer Greater Media straight to your inbox every week? Sign up here for our guide to the news, stories, and events shaping life in Media, Swarthmore, and Wallingford.
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