100-Year-Old U.S. Supplier Warns It May Shut Down for Good
Essendant told its retail partners last year it was building a stronger company for its next hundred years in business. That promise now sits next to a very different one. The wholesale giant says it may soon shut down for good. Workers in six states are already getting layoff notices. The company that once talked about the future is now fighting just to survive today.
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Nearly 1,300 Workers Are Losing Their Jobs at Once
Essendant is cutting at least 1,278 jobs across six states. That number comes from official WARN notices companies must file before mass layoffs. Essendant sells everyday supplies like cleaning products, food service items, and tech gear to stores and other businesses across the country. It does this work quietly, behind the scenes, so most shoppers never hear its name. Now its own workers are the ones facing sudden change. Will the company survive long enough to keep serving them?
Illinois Bears the Brunt of the Damage
More than half of the job cuts are happening in one single state. Illinois will lose 644 positions, split between two Essendant sites. At the Lincolnshire location, 200 workers on site and 310 remote employees who report there will lose their jobs, a total of 510 people. Another 134 workers will be let go when the company closes its Carol Stream facility for good. That is one state carrying most of the pain.
Five More States Feel the Fallout Too
Illinois is not alone. Georgia will lose 192 jobs at a facility in Suwanee, and Pennsylvania will lose 150 workers near Phoenixville and Oaks. Texas faces 136 cuts at an Irving site, while California will lose 103 jobs split between Sacramento and Perris. Arizona rounds out the list with 53 positions cut in Phoenix. Six states, one company, and thousands of families now waiting to see what comes next.
A Retail Giant’s Fingerprints Are All Over This Story
Essendant is not some tiny, unknown business. Staples bought the company in 2019, and Staples itself belongs to a large investment firm called Sycamore Partners. Essendant supplies retailers, resellers, and online sellers with everything from janitorial gear to office technology. For years it worked quietly in the background of American retail. Now the same company that helps stock store shelves cannot say for certain it will still exist in a few months.
Essendant Admits It Is Searching for a Way Out
The company is not staying silent about its troubles. In its WARN filings, Essendant said it has been exploring “various strategic alternatives,” according to records reviewed by TheStreet. That search includes possibly selling parts of the business and trying to raise new money to keep operating. So far, none of those efforts have produced a clear answer. Every option on the table right now still ends with the same open question: will it be enough?
The Company Itself Says It Might Have to Close
Essendant is not hiding from the worst case. In its WARN notice, the company said it does not know if its rescue plan will work. It currently expects it will “cease its operations and close its business.” That is about as blunt as a company statement gets. Few businesses admit in writing that they might disappear. Essendant did not respond to a request for comment. What happens next depends on decisions still being made behind closed doors.
Just Months Ago, Essendant Promised a Brighter Future
Less than a year ago, Essendant was telling a very different story. The company introduced what it called its “New Way Forward,” a plan meant to build a stronger distribution network for its next century in business. Customers heard talk of growth and long-term stability, not warnings of collapse. That contrast makes the current crisis feel even sharper. How does a company go from planning its next hundred years to possibly closing within months?
The Clock Is Already Ticking for Workers
For the employees affected, this is not a distant threat. Most of the layoffs are set to begin on or within two weeks of October 3. That means families have only a short window to plan their next move. Some workers will lose jobs they have held for years, at a company built on more than a century of history. For them, the timeline is not just a business detail. It is the countdown to a very personal change.
The Next Chapter Is Still Unwritten
A company that once promised to build a stronger future for its next hundred years now cannot promise it will open its doors next spring. That gap between then and now is the real story here. Essendant’s fate rests on deals and financing that have not yet come through. Maybe a buyer steps in. Maybe new funding arrives in time. Or maybe the doors simply close. For now, the only certain thing is that nothing is certain.