GameStop is reportedly planning to close its Shepherdsville, Ky. distribution center, according to a letter to employees seen by WDRB News. The closure, which is scheduled to be completed by June 30, could affect hundreds of jobs at the facility.
Workers at the facility also have published LinkedIn posts stating that the facility is closing. The closure was further confirmed by a commercial real estate listing stating that the 630,000-square-foot building will become available for a new occupant as of July 1, 2023.
The number of employees who worked at the facility is unavailable, but GameStop said it planned to employ 400 when it opened the warehouse in 2016. The space was used as a distribution center for stores and ecommerce orders, as well as for the repair and refurbishment of used hardware and software.
The jobs lost as a result of the closure would come on top of two other rounds of layoffs in just over six months. In December 2022, GameStop laid off an unspecified number of workers but with a greater impact on the cryptocurrency side of the business. The retailer launched an NFT marketplace in late October 2022, but CEO Matt Furlong stated that it has “minimized exposure to cryptocurrency risk throughout the year” in a Dec. 7, 2022 investor call.
The earlier round of layoffs came in July 2022, when GameStop terminated CFO Michael Recupero for being “too hands off” and announced a slate of layoffs. The retailer didn’t specify the number of job cuts beyond Furlough, saying the company would “right-size headcount across several corporate departments.”