MERIDEN, Conn. — About 150 employees at Bob's Stores' corporate office and warehouse in Meriden could be laid off at the end of the month if the company can't secure money from its bank.
The company's president, David Barton, informed Mayor Kevin Scarpati and the state Department of Labor (CT DOL) this week that layoffs could start on May 31 if the company can't find alternate funding to cover employee pay and benefits.
The layoffs affect Bob's Stores and Eastern Mountain Sports employees at the offices and warehouse on 160 Corporate Court in Meriden.
In a letter to Scarpati and CT DOL, Barton said the layoffs, if they happen, would be permanent and that a union does not represent the affected employees. In the letter, Barton noted that the company would have given more notice but was "unable to." According to Barton, the bank the company uses "refused" to fund employee benefits and pay, and the company was only told this within the last week.
"Unfortunately, the circumstances leading to this layoff were not reasonably foreseeable at an earlier date. We are currently seeking alternative funding sources, but we cannot guarantee a favorable outcome," Barton said in the letter.
Scarpati issued a statement following the announcement that he was in contact with Barton, city officials, and CTDOL Commissioner Dante Bartolomeo.
Scarpati stated that his priority is to offer any help he can to the company in finding "alternate funding sources" to support the operations and employees of Bob's Stores and Eastern Mountain Sports.
"Simultaneously, we want to ensure assistance is offered to any and all employees that may be impacted by these potential layoffs," Scarpati said.
According to the mayor, CT DOL is offering the company services through its Rapid Response Unit and is working directly with Bob's Stores and Eastern Mountain Sports and its employees.
"Bob's Stores and Eastern Mountain Sports has been a part of the Meriden community for decades and we value their partnership and the support of their employees," Scarpati said. "We greatly appreciate their efforts in being a strong corporate citizen over the years, and I am hopeful we can continue a partnership beyond the tentative layoff date of May 31, 2024."
---
MORE NEWS
---
Jennifer Glatz is a digital content producer at FOX61 News. She can be reached at jglatz@fox61.com.
Have a story idea or something on your mind you want to share? We want to hear from you! Email us at newstips@fox61.com
HERE ARE MORE WAYS TO GET FOX61 NEWS
Download the FOX61 News APP
iTunes: Click here to download
Google Play: Click here to download
Stream Live on ROKU: Add the channel from the ROKU store or by searching FOX61.
Steam Live on FIRE TV: Search ‘FOX61’ and click ‘Get’ to download.
