Scooter Store eliminates 150 jobs

Layoffs affect New Braunfels headquarters, local distribution centers

Published On: Feb 08 2013 01:26:58 PM CST

The Scooter Store in New Braunfels announced Friday that it's eliminating 150 jobs.

In a news release, the company blamed the layoffs on "the result of recent announcements by government agencies related to fundamental changes in claims processing procedures and reductions in reimbursement amounts."

The affected positions will be at the New Braunfels headquarters and at local distribution centers across the country. Employees will be offered severance packages according to their years of service.

"While we regret having to take this action, we believe this restructuring will help the company operate more efficiently so that we can be confident in our future," said CEO Martin Landon.

This is the second layoff within six months. In September, the Scooter Store laid off 220 workers.

Company officials blamed a 40 percent drop in Medicare reimbursements for power mobility devices in part for the reduction in force.