FreshRealm, a fresh-food manufacturing and logistics company, has filed for Chapter 11 bankruptcy protection, leading to significant layoffs across its operations. The company cited a major ingredient supply disruption and a prior product recall as contributing factors to its financial distress.
What happened
FreshRealm initiated Chapter 11 bankruptcy proceedings, announcing potential job cuts at multiple facilities. The company's Linden, New Jersey, facility notified over 600 workers of impending layoffs. Separately, a facility in Tracy, California, also reported layoffs. A WARN notice for its Lancaster, Texas, facility was filed, though the number of affected employees was not specified in the official filing.
How many employees affected
A total of 637 workers at FreshRealm's Linden, New Jersey, facility could be impacted by late June and late July. Additionally, 228 workers at a Tracy, California, facility were affected. While a Texas WARN notice was filed, the exact number of affected workers was left blank; some reports indicated 161 Texas workers could be affected, though this was not independently confirmed.
Why layoffs happened
FreshRealm cited "a significant ingredient supply disruption in 2025" as a major blow to its earnings. The company also faced headwinds from a nationwide recall in June 2025 due to possible listeria contamination. Following the recall, major retailers, including Walmart, reportedly cut ties with FreshRealm.
Company background
FreshRealm operates as a large-scale fresh-food manufacturing and logistics company, specializing in ready-to-eat meals and meal kits. It has served as a supplier to meal kit companies like Blue Apron and Marley Spoon, and packed fresh meals-to-go for retailers such as Walmart, Wonder, and Amazon Fresh.
Industry impact
The layoffs at FreshRealm contribute to a series of job reductions seen in New Jersey. Other major employers in the state, such as Amazon Fresh and Bristol Myers Squibb, have also announced significant layoffs recently.
What's next
Pending court approval, Blue Apron is expected to exit its deal with FreshRealm and transition its related operations. FreshRealm founder and CEO Michael Lippold stated the company remains focused on serving customers and supporting stakeholders, expressing belief in the platform's long-term potential.