In response to an over-inventoried supply chain that continues to pressure the bike industry, Quality Bicycle Products (QBP) reported that it reduced its U.S. workforce by 5 percent on July 12. The workforce reduction reportedly affected multiple departments.
QBP’s U.S. and Canadian distribution centers remain open and fully operational.
“This was a painful decision that impacts talented teammates and friends who made meaningful contributions to QBP,” said Rich Tauer, president of QBP, in a statement. “This is extremely difficult for everyone involved.”
The layoffs were said to be “a necessary action for the company,” whose workforce includes employees in North America and Taiwan, to stay agile amid current market conditions.
“As the largest distributor of bicycle products in North America, we are impacted by an industry that is still searching for a balance between supply and demand. Currently, there’s just too much surplus inventory,” Tauer suggested. “While painful, our workforce reduction was a necessary step to ensure our business remains stable and poised for future growth while delivering the highest level of service to our retailer and supplier partners and to consumers of our proprietary brands.”
In addition to its owned bike and accessory brands, including brands Salsa Cycles, Surly Bikes, All-City Cycles, 45NRTH, Teravail, Whisky Parts Co., and MSW, QBP reportedly distributes products from leading supplier brands to more than 5,000 specialty bike retailers in North America.
As a certified B Corp., QBP reported it remains committed to its core values, and its first Impact Report, released in April 2023, demonstrated its commitment to corporate accountability.
“QBP and our family of brands will continue riding towards our stated purpose of advancing the experience of bicycling for the wellbeing of people and our planet,” said Tauer, “And we remain dedicated to our vision to get every butt on a bike.”
Photo courtesy of QBP
