Sep 24, 2024
(WFRV) - The once-popular frozen food home delivery company Yelloh, better known as Schwan's Home Delivery, will cease operations before the end of the year and subsequently lay off 79 Wisconsin workers. Cygnus Home Service, LLC, has submitted a Worker Adjustment and Retention Notification letter to the Wisconsin Department of Workforce Development announcing the closure of eight Wisconsin facilities, which will shut down in November. 21-year-old Wisconsin man dies while climbing the Devils Tower National Monument in Wyoming "It's with heavy hearts that we made the difficult decision to cease operations of Yelloh," said CEO Bernardo Santana in a news release. "We are thankful to our many loyal customers and hard-working employees for everything they have done to support us." The following Wisconsin facilities that are closing, as well as the number of employees being laid off at that facility, are as follows: 400 Industrial Dr. in Fennimore Six employees laid off 1336 Capital Dr. in Fond du Lac Five employees laid off 9740 S. 58th St. in Franklin 13 employees laid off 2782 Packerland Drive in Green Bay 11 employees laid off 1625 North Street in Prairie du Sac 13 employees laid off 1050 Benson Street in River Falls Eight employees laid off 730 Craftsman Way in Sun Prairie 11 employees laid off W. 3213 County Road B 11 employees laid off In addition, one remote employee was laid off, making the total number of employees 79. The company cited a number of insurmountable challenges to the business, including pandemic-driven staffing shortages and supply chain disruptions. "These challenges, combined with changing consumer lifestyles and competitive pressures that have been building for over 20 years, made success very difficult," Michael Ziebell, a board member and 22-year veteran of the company, said in the release. "Digital shopping has replaced the personal, at-the-door customer interaction that was the hallmark of the company." A union does not represent the affected employees, and bumping rights do not exist. Bumping rights mean senior-level employees whose positions have been eliminated will not be offered alternative positions currently held by a less senior employee. Eight schools in Wisconsin earn National Blue Ribbon Awards Corporate officials say the laid-off employees will be paid through Nov. 22, 2024, and will remain on the company's benefits plan, consistent with the Worker Adjustment and Retention Notification Act requirements. Schwan’s began home delivery in 1952. In 2018, the Schwan family sold a 70% share of its business to the Korean firm CJ CheilJedang for $1.8 billion. However, the family kept Schwan’s Home Delivery business and rebranded it last year as Yelloh.
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