Yelloh Cuts 750 Jobs and Closes 90 Delivery Centers Amid Economic Challenges

BLOOMINGTON, Minn. (AP) ÔÇö Yelloh, formerly known as Schwan’s Home Delivery, a prominent food delivery business, has announced its decision to slash 750 jobs across the country and shut down 90 delivery centers. The closures are scheduled to begin on December 8th. However, the iconic yellow trucks will still be in operation, serving customers in 18 states. For customers in other areas, deliveries will be handled by UPS, as reported by the Minneapolis Star Tribune on Friday.

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The company expressed its reasoning for these measures, stating, “Facing economic headwinds, rising business costs, and the post-pandemic world, our teams across the country have worked valiantly to transform our company into a modern category leader. Despite those efforts, and like many retail businesses, we must now close locations and face a difficult reality.”

However, despite these changes, Yelloh will continue its delivery services in the following states: Delaware, Illinois, Indiana, Iowa, Kentucky, Maine, Maryland, Michigan, Minnesota, Missouri, New York, Ohio, Pennsylvania, South Dakota, Texas, Vermont, West Virginia, and Wisconsin.

Schwan’s Home Delivery, which originally started its operations in 1952, underwent a significant change in ownership in 2018 when the Schwan family sold 70% of its business for $1.8 billion to the Korean firm CJ CheilJedang. Nonetheless, the family retained the Schwan’s Home Delivery business and rebranded it as Yelloh last year.