Convoy to chop jobs, shut Atlanta workplace
Digital freight community Convoy will shutter its Atlanta workplace and lay off employees as a part of a collection of cost-cutting strikes to spice up profitability.
The corporate, which runs a digital load board, is shifting to a brand new customer support mannequin that closely depend on automation, CEO and co-founder Dan Lewis stated in a LinkedIn submit Thursday. The leaner assist operation may have devoted groups serving particular shippers, and Lewis stated a pilot of the mannequin yielded operational effectivity positive factors of 30-40%.
“This shift represents an enormous step ahead in how we function, but it surely comes at a value. Elevated automation and tighter focus have modified our staffing wants,” Lewis stated. “Because of this transformation we may have considerably fewer Atlanta based mostly workers, and we are able to not justify sustaining our present workplace area in Atlanta.”
A small crew will stay in Atlanta, although the crew’s working mannequin will change. Extra cost-cutting measures are set to have an effect on the remainder of the corporate, with Lewis saying there’ll “reductions to different groups across the firm.”
“A few of these adjustments tie to our customer support mannequin adjustments, and a few are tied to working a extra environment friendly enterprise total and dashing our path to profitability,” the CEO stated.
Convoy joins a wave of layoffs within the logistics expertise area, together with C.H. Robinson and Flexport, which introduced job cuts final 12 months.
