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Wayfair plans to close a factory in Erlanger, Kentucky, in 2026 after deciding not to renew its lease, the retailer said in an email to Supply Chain Dive.
The facility is slated to close on or about Sept. 30, 2026, affecting 215 employees, according to a Worker Adjustment and Retraining Notification Act notice dated Oct. 15. Phased completion will begin on January 1, 2026.
According to the WARN notice, “this layoff will be permanent and none of the affected employees will be represented by a union, and there will be no redundancy rights (ie, the right to avoid layoff by transferring another employee).”
The closing is the latest step in Wayfair’s ongoing effort to optimize its supply chain, according to the email.
As part of a logistics overhaul, Wayfair this year expanded its CastleGate logistics service, which enables the company’s suppliers to fulfill orders for all customers. Through “multi-channel” expansion, it offers an alternative third-party logistics service that caters to large and bulky household goods.
In addition, Wayfair announced last year that it plans to offer a consolidated delivery option for business-to-consumer shipments to increase efficiency. The retailer has also worked to improve its data analytics capabilities to optimize last-mile delivery methods for orders and reduce logistics costs.