Ahold has announced plans to be transferring the operations of two U.S. facilities; one in Lancaster and one in Cheektowaga. Both operations will be moved to C&S Wholesale Grocers in Pennsylvania and Massachusetts, according to WGRZ.
“Decisions to transfer facilities are not easy and we understand the concern that this change will cause for ASC associates and their families,” explained Jan van Dam, Executive Vice President of Supply Chain and E-commerce for Ahold USA, according to the report. “We are committed to treating all associates affected by this decision in a fair and respectful way.”
The move from Lancaster and Cheektowaga to the C&S Wholesale facilities will affect 600 employees in total, with full-time employees being offered severance packages based on the amount of time they have been with the company.
The full transition between facilities is expected to be complete by August.
This announcement comes at the same time as the company’s official filing for its joint merger with Delhaize with the Brussels Commercial Court. According to Ahold, this step is the next necessary one before convening the shareholders for Extraordinary General Meetings, which are scheduled to take place during the first half of this year.
The entire merger transaction is slated to be complete during mid-2016, according to both Ahold and Delhaize.