Railex announces layoffs

WALLULA, WA - 88 employees from Railex's Wallula warehouse received "warn notices" this week.

Union Pacific bought the company's assets back on December 31st, and the layoffs go into effect on June 30th. Railex's senior Vice President of Operations, Jim Kleist, told NBC Right Now that because the company is going through this transition phase, current employees will need to be disassociated with the company and then potentially be rehired by Union Pacific.

Between now and the end of June, Railex is operating the same way it's been operating since 2006. We reached out the Union Pacific to find out what the future of the company will be, but we haven't heard back yet.

The facility isn't closing, and the acquisition didn't affect Railex Wine Services LLC. Kleist also said this could be a good thing for the company, its employees, and the new ownership because of the long-term projected growth. Once we find out what comes next for the company, we will pass that information along.

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