On July 23, Amazon announced plans to temporarily close two warehouses in Homestead and Port St. Lucie, Florida, and invest approximately $400 million to fully upgrade both facilities. The adjustment will affect over 1,100 employees, but Amazon stated that the two warehouses are expected to resume operations in 2028, with each facility projected to hire about 1,000 employees after the renovation.

According to documents, Amazon’s "TMB8" warehouse in Homestead will phase out 616 positions. The approximately 1.3 million square foot facility ceased operations on July 2, and employee separation procedures will continue through September 30. The other warehouse, "PBI3" in Port St. Lucie, is scheduled to close on September 17, reducing 494 jobs, with layoffs taking place in two phases on the closure day and on December 17.

Among the 1,110 affected employees, most are fulfillment center workers responsible for picking, packing, storing, and shipping orders. Although the two warehouses plan to reopen in the future, the documents indicate that these job cuts are expected to be permanent. However, employees who accept internal transfer opportunities before their separation date will not be laid off. Amazon said around 300 Homestead warehouse employees have already accepted internal transfers.

The investment will mainly be used to adjust the functional positioning of the two warehouses. The Homestead facility currently operates as an inbound cross-docking (IXD) center, receiving goods from ports and domestic suppliers and distributing them to other fulfillment centers. After the transformation, it will become a large standard fulfillment center, with an estimated investment of about $200 million.

The Port St. Lucie warehouse, spanning about 1 million square feet, is currently used to store and distribute large items, including kayaks, outdoor furniture, barbecue equipment, fitness gear, and other bulky home products. After the renovation, it will also be converted into a standardized fulfillment center capable of handling smaller items, with an investment of about $200 million.

Source: E-commerce Pie