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Kellogg’s laying off 172 people when distribution facility closes, talks of another company leaving too

MEMPHIS, Tenn. -- Hundreds of jobs are leaving Memphis.

Kellogg's notified the state it is closing the East Memphis distribution center by the end of July.

That's not the cereal plant in South Memphis. This facility is on Shelby Oaks Drive.

Approximately 172 people are expected to lose their job.

The company sent the notice to the Tennessee Department of Labor and Workforce Development last week stating it would permanently close the facility on July 29.

The closure is reportedly part of a cost-cutting initiative set to impact 2,000 jobs nationwide.

Kellogg's announced earlier this year it's changing its shipping process, so this will not impact the cereal and other manufacturing plants in Memphis and surrounding areas.

WREG contacted the worker's union, but have yet to hear back as of Wednesday evening.

Meanwhile, the Bluff City is keeping its eye on the ConAgra facility on Williams.

The company sold Wesson cooking oil to J.M. Smuckers.

After the deal was finalized, Smuckers stated it wanted to consolidate manufacturing into their existing plant in Cincinnati.

A spokesperson with ConAgra said the 125 to 1,500 employees have been made aware of what's happening.

"Obviously, you don't want to see that happen," said Kevin Woods, executive director of the Workforce Investment Network in Shelby County.

Woods said anytime a business leaves, they send in a rapid response team to help those laid off.

He said right now, there are more than 6,000 available jobs in distribution in the Memphis area.

"We still see it as an opportunity to retrain those employees, help support them and help connect them to other opportunities in their field," he said.

For more information about those jobs, head to jobs4tn.gov.