Compass Group USA, based in Charlotte, North Carolina, and Fresh & Ready Foods, based in San Fernando, California, plan to lay off 65 employees at their manufacturing plant at 818 Metromedia Place in Dallas, according to layoff notices filed with the Texas Workforce Commission.
Under the Labor Adjustment and Retraining Act, if a company with more than 100 employees lays off 50 or more workers, it must notify the Labor Relations Commission 60 days in advance.
Compass Group and Fresh & Ready employees are not unionized and layoffs will begin Aug. 30. The facility will cease operations on Sept. 30.
Compass Group USA did not respond to multiple email and phone interview requests as of press time, but a Fresh & Ready spokesperson said the company is closing its Dallas facility as it consolidates its footprint.
“We are consolidating our concession operations in the greater Dallas area after our lease at our Metromedia Place store was not renewed,” the company said. “Unfortunately, this means we must inform our valued employees that their jobs at this location will be eliminated. We are doing everything we can to make this transition as smooth as possible, including connecting them with our other open positions in the area.”
The manufacturing facility is located just over 10 minutes southwest of Dallas Love Field Airport, just off the John W. Carpenter Freeway.
Takeout caterer Fresh & Ready Foods is a division of Compass Group, a foodservice company that acquired Fresh & Ready Foods in 2021.
The facility closures and job cuts come five months after Fresh & Ready Foods voluntarily recalled four torta sandwiches sold in Arizona, California, Nevada and Utah due to possible Listeria contamination.
At the time, no illnesses had been reported linked to these products.
Recalls aside, Compass Group’s numbers look strong. In its half-year report on May 15, the company reported revenue of $20.9 billion, up 11.2% from the same period last year. The company’s operating profit was $1.4 million, up nearly 19% from last year.
Fresh & Ready Foods is based in Schiller Park and Franklin Park, Illinois, and San Fernando, Calif. The company also has distribution centers in Las Vegas and San Francisco, according to its website.
“This is a really exciting time for the business. We have further strengthened our competitive advantages, become a more focused business and are growing strongly,” Compass Group CEO Dominic Blakemore said in an earnings call on May 15. “We have multiple levers to grow revenue and profits and are confident we can sustain mid-to-high single-digit revenue growth, which will enable us to grow profits in excess of revenues.”
