Vermont Business Magazine Vermont Department of Labor Commissioner Michael Harrington today issued the following statement:
“On Monday April 26, 2021, the Vermont Department of Labor received formal notification from Koffee Kup Bakery (KKB), in the form of a Notice of Potential Layoff (also referred to as a WARN Notice), that the company was ceasing operations at its Burlington and Brattleboro facilities effective immediately. In an effort to immediately support the roughly 250 Vermonters who have lost their jobs, our Workforce Development and Unemployment Insurance divisions have begun the process of coordinating Rapid Response services. Additionally, a number of employers across the state have contacted the Department of Labor interested in hiring individuals who were impacted by this closure."
There were 156 employees at Koffee Kup in Burlington and 91 at Vermont Bread in Brattleboro.
VBM reported the acquisition of Vermont Bread by Koffee Kup in January 2013: "VEDA approved $683,165 in Subchapter 5 financing to help Koffee Kup Bakery acquire the Vermont Bread Company and its East Coast affiliate company from Boulder, Colorado-based Charter Baking Company. Koffee Kup Bakery has been a significant regional bakery operating in Burlington since the 1940s and now employs 148 people. The company produces, sells and delivers donuts and bread products throughout Vermont and New Hampshire, and parts of New York, Maine and Massachusetts.
"The Vermont Bread acquisition includes significant bakery facilities and equipment in Brattleboro, Vermont and northeastern Connecticut. The acquisition will enable Koffee Kup to further expand operations, and save a considerable number of well-paying jobs in southern Vermont.
"Peoples United Bank also provided financing for the project. In conjunction with the Vermont Bread Acquisition Project, VEDA also approved $180,000, and Peoples United Bank provided additional financing, to help Koffee Kup Bakery acquire $450,000 of bakery and distribution machinery and equipment."
KKB employees who were impacted by the closure can contact the Department of Labor’s Workforce Development division directly at https://labor.vermont.gov/Jobs, or by calling (802) 863-7676 for individuals in the Burlington-area, or at (802) 254-4555 for individuals in the Brattleboro-area.
Vermont’s Notice of Potential Layoff Act requires that employers notify the state 45-days prior to closure, and municipalities and affected employees 30-days prior to closure. In specific instances, employers may qualify for an exemption to the prior notice clause. The Department of Labor’s legal team is currently reviewing the notices that were provided and have already been in contact with the KKB to determine whether the company complied with the provisions of the Act.
All Notices of Potential Layoffs are available on the Department of Labor website at: https://labor.vermont.gov/warn-act-and-notice-potential-layoffs-act.”
Source: 4.28.2021 Montpelier www.labor.vermont.gov