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Phoenix-born Freshly is laying off 329 local workers in strategy shift

Freshly, a prepared meal delivery service that was founded in Phoenix before expanding nationwide, is laying off 329 workers at its southwest Phoenix warehouse as it shifts to a new business strategy.

The history: Michael Wystrach and Carter Comstock founded Freshly in Phoenix in 2012.

  • Subscribers receive a week’s worth of meals ready to be heated in an oven or microwave.
  • Nestle USA bought Freshly, now headquartered in New York City, for $1.5 billion in 2020.
  • Freshly delivered more than a million meals in 2020, but subscriptions since have declined.

The strategy: Freshly is shifting its focus to retail sales instead of home delivery.

  • The company recently has laid off workers and closed warehouses in several states.
  • It has not announced whether the Phoenix warehouse will be closed.