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GSI to close its Martinsville facility
01
May '09
After an analysis of capacity, the impact of virtual technologies and facility lease considerations, GSI Commerce Inc announced that it will consolidate the operations of its four U.S. customer call centers into three facilities.

As a result, the company will close its call center in Martinsville, Va., in a phased shut down that will begin in June and run through final closure targeted for the end of September.

The company released the following information regarding the consolidation effort:
• After an analysis of its customer care operations, that included capacity in existing facilities, business processes, use of virtual technologies and lease considerations, GSI Commerce concluded that it could achieve long-term operational improvements if it consolidated four call center operations into three.
• GSI will use available capacity and also hire additional employees at each of its three remaining call center facilities to support the consolidation. Additionally, GSI plans to expand its virtual network of work-at-home professionals – a successful program launched by GSI in 2007.
• GSI does not expect the consolidation to have any material impact to its 2009 fiscal year operating results. The company has not materially changed its call center volume expectations for the 2009 fiscal year.
• The consolidation includes closing the Martinsville, Va., call center and moving its client operations to facilities located in Melbourne, Fla., Eau Claire, Wis., and Brunswick, Ga.
• Under the WARN Act, GSI Commerce provided notice to 279 employees in its Martinsville, Va., call center today advising them that the company will begin a phased shut down of the facility beginning in June.
• The facility is located at 730 East Church St., Martinsville, VA, 24112, in Henry County.
The Martinsville facility was opened in 1999 and was acquired as part of GSI's acquisition of Accretive Commerce in September 2007. GSI's lease on the Martinsville call center expires at the end of the summer.
• GSI also operates a 479,000-sq. ft. fulfillment center in Martinsville. This facility is not affected by the closure of the call center. GSI employs 208 people in its Martinsville fulfillment center and has recently added business to that facility with the addition of three new clients. There could be additional hiring at this facility as new business is added during the year. The Martinsville fulfillment center is expected to hire approximately 220 seasonal workers for full- and part-time work during the fourth quarter.

GSI Commerce Inc


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