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Recreational Equipment Inc. will reduce its workforce by about 357 people, with 121 of those employees coming from distribution centers like the one in Bedford County, according to a message shared by REI CEO Eric Artz.
The cuts will impact "200 people at headquarters, six in (sales and customer service), 30 in experiences and 121 in our distribution centers," Artz wrote, adding that REI will also reduce the size of its senior leadership team by 22% for 2024.
REI, which sells outdoor recreation clothing and equipment, employs more than 16,000 people at 181 locations across 41 states and Washington, D.C., according to its website. It is unclear how many positions will be cut from the Bedford County distribution center, which is one of only four, and employs about 350 people.
Artz said the reduction in workforce was "primarily driven by financial necessity."
"While the U.S. as a whole has avoided entering a recession ... outdoor specialty retail has experienced four quarters of decline -- and that trend has been worsening," Artz wrote.
As a result, Artz said that REI is planning for 2024's revenue to be down from 2023.
"Every employee whose job is eliminated will receive separation benefits including severance, COBRA, and outplacement support and services," Artz wrote.
Bedford County Development Association Executive Director Bette Slayton said on Friday that she was aware of the situation and that they had been communicating with the REI general manager "offering any and all support we can," whether that be through CareerLink or the Southern Alleghenies Workforce Development Board.
"Bedford County employees are so productive and hardworking that we're hoping we won't get hit too hard," Slayton said.
Slayton remains optimistic that the displaced employees will have "numerous job opportunities" with the "number of world class employers looking for good people, and having worked at REI means they're quality."
"So we're hopeful we're able to maximize any and all programs to them and help them find a new job -- that's our top priority," Slayton said. "We also want to support the company to show we're not just a fair weather friend. We're with them through thick and thin."
Mirror Staff Writer Rachel Foor is at 814-946-7458.