Alan Ritchey Closes New Jersey Facility, Cuts 176 Jobs Over USPS Contract Loss

Key Details Alan Ritchey Inc. is shutting down its Phillipsburg, New Jersey logistics hub and laying off 176 employees effective July 17. The closure stems from the nonrenewal of a U.S. Postal Service contract that the Texas-based carrier has serviced since 1964. The 511,200-square-foot facility, completed in 2021, handled mail and logistics operations with roles including forklift operators and shippers. Why It Matters This marks Alan Ritchey's second major workforce reduction this year tied to USPS business losses. In January, the company laid off 729 employees when USPS insourced operations at its Denver-area regional transfer hub. Combined, these two closures represent over 900 job losses in 2024, signaling significant industry disruption. Broader Impact The shutdowns highlight growing risks for carriers dependent on large government contracts. USPS is actively consolidating transfer hubs and bringing operations in-house as part of network restructuring efforts. For third-party logistics providers like Alan Ritchey, the shift underscores the vulnerability of relying heavily on single customers, even established ones spanning decades of service.