Major Mattress Company Laying Off More Than 200 People + Shutting Down Factories: Here’s Why

The popular mattress company, Purple Innovation, just announced that they are shutting down two factories and laying off more than 200 people.

The plants that are closing are located in Utah, where the state will subsequently lose more than 200 jobs. Not great news in any economy, let alone today's.

The company, however, will remain headquartered in Utah, where its distribution center is. There will also still be four showrooms in Utah after the consolidation of manufacturing plants.

You may have seen TV commercials and heard radio ads for the GelFlex Grid Purple Mattress. It had become quite popular in the past few years.

Not popular enough, however, to save these two production factories and the more than 200 jobs that will be cut. This cost-cutting measure by the company will save them between $15 million and $20 million dollars per year.

That is money they need in the bank as their revenue has been declining for almost two years, with a slight uptick as of recently.

The COO of the company, Eric Haynor, stepped up to the plate and delivered his official statement.

"We’ve made great strides to figure out how to run the company profitably at this size, and we believe there’s room for continued improvement on all of our input costs, inclusive of landed materials, conversion labor, plant yields, and outbound freight."

Unfortunately, to make the company stronger, they must make some drastic decisions, and because of that, 200 Americans will no longer have an income and must search to find something else to help pay their bills.

In a perfect world, Purple Innovation would give each outgoing laid off employee a Purple Mattress, to help them rest easy while their lives get shuffled around.