First Brands Group, a global automotive parts manufacturer, made headlines after it filed for Chapter 11 bankruptcy on September 28, 2025.
Now, after several rounds of trying to find funders, the replacement parts seller has been forced to close several locations, resulting in several hundred individuals being laid off.
On Feb. 27, the company filed several WARN (Worker Adjustment and Retraining Notification) notices in Ohio, informing of at least four location closures and the elimination of more than 1,200 jobs.
The company stated in the WARN notice that it had pursued a sale process and sought outside funding, but ultimately saw no path forward to maintain operations at these facilities.
Along with the financial distress that comes with a Chapter 11 bankruptcy, First Brands is also facing legal action from the U.S. Attorney’s office in connection with an alleged multibillion-dollar fraud scheme from the company’s executives.
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First Brands Ohio job cuts, closures
One of the first layoff notices came from First Brands Cuyahoga on Feb. 23, indicating that 146 jobs will be impacted at its 127 Public Square, Cleveland location. These layoffs were to be effective immediately.
Soon after, on Feb. 27, the company announced the closure of the same Cleveland facility, impacting 110 more positions. The termination will be effective April 30, giving employees some prior notice.
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In response to the sudden closure and its immediate impacts, the company noted that, while it had been trying to maintain operations, several parties with whom it had been discussing a potential bid “suddenly and unexpectedly” withdrew.
The move left the company in a lurch, forcing it to lay off employees with little advance notice.
Combined, 256 employees are impacted in Cleveland.
First Brands’ facility in Tiffin, Seneca County, located at 1441 N. Maule Rd., will also close, impacting 407 employees.
The termination will be effective April 30, and the filing noted that some of the affected employees are represented by the United Auto Workers, Local 2021.
“As you may be aware, the Company is currently experiencing a period of financial distress and is in a Chapter 11 bankruptcy process,” the company noted in the WARN filing.
It added that despite pursuing multiple sale processes and attempting additional funding from outside parties, it made the “difficult decision to close” the facility.
Next in line for closure is the FRAM facility at 851 Jackson St., Greenville, Ohio, resulting in the termination of 302 employees. The employees will be terminated on April 30, when the company expects operations to cease.
Some of the employees here are also represented by the United Auto Workers union.
First Brands TMD Bowling Green facility in Gypsy Lane will also permanently close, resulting in 302 employees of the automotive company losing their livelihoods, effective April 30.
The plant includes a large number of setup operators, elders, maintenance technicians, production supervisors, and manufacturing roles.
Ohio locations closure and layoffs:
- Cleveland Cuyahoga job cuts: 146 layoffs
- Cleveland Cuyahoga closure: 110 more layoffs
- Tiffin closure: 407 layoffs
- Bowling Green closure: 302 layoffs
- Greenville closure: 302 layoffs
Total: 1,267 employees impacted across Ohio
Federal criminal charges filed against First Brands executives
Adding to First Brands’ burden is the federal investigation into its executives’ alleged involvement in fraud worth billions, which led to the company’s bankruptcy in the first place.
The abrupt closures of several facilities across the country (in Ohio, Kentucky, South Carolina, and Illinois) followed the fraud indictment of First Brands executives Patrick James and Edward James by the U.S. Attorney’s Office in New York on Jan. 29.
Patrick James, founder and former CEO of First Brands Group, and his brother, Edward James, a former senior executive, were indicted for conspiracy to commit wire fraud and bank fraud, and for money laundering, involving “various schemes to defraud lenders regarding the liabilities and financial condition of First Brands.”
The two brothers are accused of a yearslong fraud scheme leading to the eventual bankruptcy of the global automotive company in September 2025.
The company, which reported $5 billion in net annual sales, declared only $12 million in cash, according to the indictment details. And it showed more than $9 billion in liabilities, resulting in billions in losses.
Additionally, they “inflated invoices, double- and triple-pledged collateral, and falsified financial statements” to trick lenders, noted James Barnacle Jr., FBI assistant director in charge.
Patrick James, now in custody, faces a potential minimum sentence of 10 years.
With four plant closures, a federal investigation in the background, and an uncertain future buyout, First Brands’ Ohio footprint has been drastically reduced, potentially impacting small businesses and local supplies in the near term.
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