Pet product e-retailer Chewy will shutter two fulfillment centers.
The company will also shift its operations to other facilities as it pursues greater automation.
- Chewy will shutter its two oldest fulfillment centers in Mechanicsburg, Pennsylvania, and McCarran, Nevada.
- The facilities employ a combined workforce of 528.
- Shutting
the fulfillment centers will redirect more of the company's e-commerce
order volume through its newer and more automated facilities.
- CEO Sumit Singh said the move toward greater automation was necessary to lower variable costs per order.
- The company shipped 4.2% more orders in 2022 YoY despite keeping its fulfillment expenses flat.