Detroit Food Distributor to Cease Operations

The move will result in about 1,500 layoffs.

Detroit
Detroit
iStock.com/Jaclyne Ortiz

A Detroit food distributor plans to shut down its operations after 55 years and eliminate its workforce of some 1,500, according to local reports.

Harvest Sherwood Food Distributors, which provides meat, bakery, processed goods and other items to thousands of customers nationwide, filed layoff notices with regulators in Michigan as well as Florida and Oregon, the Detroit Free Press reports.

The company told an Oregon publication that the decision stemmed from “rising costs” and a "diminished market” for its products. A representative told the Free Press that affected workers were notified by mail or email and would remain on its payroll until late April. Until then, the spokesperson said, the company would focus on shuttering its facilities, settling its financial obligations and liquidating assets.

The company was formed by a 2017 merger between Detroit’s Sherwood Food Distributors — founded as Regal Packing Co. in 1969 — and Harvest Food Distributors of California. The company said that it operated a fleet of more than 250 trucks shipping more than 20 million pounds each week.

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