MATTHEWS, N.C. — Dollar Tree announced Tuesday that the company plans to consolidate its headquarters facilities to one building in Chesapeake, Virginia.
The company plans to close Family Dollar's headquarters facility in Matthews and combine the facility with Dollar Tree's newly completed office tower in the Summit Pointe development in Chesapeake.
[ [Dollar Tree buying Family Dollar for $8.5 billion] ]
"Leadership from both banners has continued to work together to integrate our two organizations and invest in future growth," Dollar Tree's Chief Executive Officer Gary Philbin said. "By bringing our teams together into one location, we will further improve our ability to support our stores more effectively through enhanced collaboration, communication and teamwork. The completion of our expanded headquarters in Virginia will facilitate the most important phase of the integration and we are excited about the opportunities ahead for the Dollar Tree and Family Dollar banners."
The company said that, while it to close the headquarters facility, the distribution center in Matthews will remain open.
[ [Dollar Tree CEO on Family Dollar merger vote: We'll not accept another delay] ]
Officials said they have offered approximately 700 associates the opportunity to relocate, including job transition benefits and outplacement services for affected employees. An estimated 900 people work at headquarters facility in Matthews.
"Our new 12-story, 510,000 square-foot office tower represents the anchor of a dynamic campus environment serving the needs of our associates," Bob Sasser, executive chairman of Dollar Tree, said. "We are eager to welcome all associates relocating to the Chesapeake area to participate in, and benefit from, the company's next phase of growth."
The company spoke with Channel 9 and said no positions are being eliminated Tuesday or in 2018.
The Matthews center is expected to close in Fall 2019.
Dollar Tree officials said the consolidation is part of the ongoing effort to integrate the Family Dollar's organization and support functions with the Dollar Tree Inc.
Marketing experts said there is more consolidation in retail, and it’s likely employees here had an idea this was coming.
"It is always a loss, you know any time you lose even a small employer, but definitely a major employer, ” Dr. Jane Thomas, a marketing professor at Winthrop University, said. “Nine-hundred jobs, it’s always a loss because it's those jobs. It's those families."
Dollar Tree and Family Dollar began the process of merging in 2014.
The chamber of commerce released a statement saying the main focus of many in the area should be on how to keep all 900 people employed locally.
One resident Channel 9 spoke with said this could be an opportunity for other employers.
“For the companies in the area it really offers them an immediate pool of candidates, and hopefully some other local companies will be able to recruit from the people who are being affected,” resident Pete Medrano said.
The Mayor of Matthews Paul Bailey released the below statement regarding the company's decision to relocate.
"We were disappointed to hear the decision to relocate the Family Dollar headquarters from Matthews. As one of the largest employers in town, Family Dollar has been an important part of Matthews for many years. Their employees are part of our community, and we have reached out to our Mecklenburg County partners to determine how they can best assist them during this transition.
"Though this is a loss for Matthews, we are confident that the vibrancy of our community will see us through this transition."
Read more top trending stories on wsoctv.com:
- Police: Woman shot while pumping gas, 2 others injured in north Charlotte shooting
- Residents forced to evacuate after dam break in Anson County
- FLORENCE AFTERMATH: Floodwaters of Florence put North Carolina dams under stress
- WATCH: Jaclyn Shearer's Tuesday forecast outlook
- North Carolina residents consider fleeing as rivers rise