Kraft Getting Rid Of Their Private Fleet?

I just heard something interesting and was wondering if anybody can verify it? The receiving clerk at the Wal Mart DC in Ochelata, OK just told me that Kraft is eliminating their entire private fleet and moving to all outside carriers for their transportation. I hadn't heard anything about this before, and it sounds like a pretty major move to not have heard about until now.

Anybody else hear anything about this?

Kraft Foods Putting the Brakes on its Private Fleets

Kraft Foods will be putting about 295 drivers nationwide out of work this summer. The company is putting an end to its private trucking fleet.

Kraft made the announcement Friday that the company would be shutting down the private fleet and will utilize contract and commercial carriers to handle their transportation needs going further.

There are 10 base sites across throughout the  country that are home to Kraft’s private fleets, and the cuts will happen in phases.  The layoffs will be completed by the end of the year.

Kraft met with its fleets employees to let them know the news and make them aware of the separation benefits they will be provided. Those benefits include severance pay based on years of service, subsidies for health insurance-COBRA benefits during the severance period, and outplacement assistance.

Company spokesperson, Joyce Hodel, said shutting the private fleets down will allow Kraft to take advantage of the capabilities of commercial carriers.

“The plans have nothing to do with the performance of the Kraft private fleet,” Kraft Spokesperson Joyce Hodel told WFMZ. “Our Kraft private fleet has provided outstanding service to their internal and external customers.”

Wow, I guess it's true then. Thanks Anchorman. Somehow I figured it'd be you who'd have the scoop.

Wow, I guess it's true then. Thanks Anchorman. Somehow I figured it'd be you who'd have the scoop.

You're welcome!

This is not surprising. If they contract to outside carriers they get rid of the cost of up keep of their own trucks and save alot of money. More and more companies are starting to cut cost like this.

One example would be ABF. Werner is starting to pull their doubles instead of them paying there over paid lackys....err I mean drivers they can save money outsourcing the loads. The union drivers don't like it but they can not say anything about it cause it was a Union negotiated contract and had the backing of its members.